reglab/statecodes huggingface dataset:
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 2 - LICENSING › Section 3:17-2.6 - Late renewal of licenses; late filing fees; reinstatement fees

Current through Register Vol. 56, No. 14, July 15, 2024
(a) A person who
				submits a renewal application after the expiration of the license, but no later
				than 30 calendar days after such expiration, may renew by paying a penalty for
				late filing of $ 500.00.
(b) A
				person who submits a renewal application later than 30 but no more than 60
				calendar days following the expiration of the license shall be required to
				submit an application for reinstatement of the license. Such application for
				reinstatement shall be on a form as prescribed by the Commissioner and shall be
				accompanied by a penalty for late filing of $ 700.00 per license.
(c) A person who submits a renewal
				application later than 60 days following the expiration of the license shall be
				required to submit an application with the non-refundable application fee as
				specified in N.J.A.C. 3:17-3.
(d)
				Payment of the fees or penalties under (a), (b) and (c) above shall be
				submitted in the form of a check made payable to "Treasurer--State of New
				Jersey."
(e) The date of submission
				for this section shall be the date on which the electronically submitted
				complete renewal application was accepted for processing.
(f) Submission of an application for renewal
				of a license following the expiration of a licensing period does not authorize
				the formerly licensed person or entity to engage in any activity subject to
				licensure prior to the renewal of their license. The Department may take
				administrative action against anyone who engages in a licensed activity without
				being properly licensed.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 2 - LICENSING › Section 3:17-2.7 - Change of control

Current through Register Vol. 56, No. 14, July 15, 2024
(a) A licensee
				shall file a completed application for approval whenever a change of control of
				ownership of 25 percent or more of the licensee is planned. The change of
				control request shall be submitted at least 90 days prior to the anticipated
				sale date and shall include:
1. A fully
				executed change of control form as prescribed by the Commissioner;
2. A copy of the executed stock purchase
				agreement or other agreement evidencing the proposed sale; and
3. A copy of the corporate resolution
				providing that existing officers and/or directors cease to hold positions and
				that new officers or directors are appointed, if applicable; and personal
				certifications permitting the Department to make inquiries to the New Jersey
				State Police as to any information it may have on file with respect to the
				applicant, that is, the person, sole proprietor, partners, members and managers
				of a limited liability company, corporate officers, directors and shareholders
				owning 10 percent or more of the shares of the corporation, including a
				criminal history record background check of the applicant, based upon
				information provided to and received from the Division of State Police. The
				background check shall include a State criminal history record background check
				based upon an exchange of fingerprint data with the State Bureau of
				Identification in the Division of State Police, for which the Division shall
				promptly notify the Commissioner if the subject of the original criminal
				history record background check is arrested for a crime or offense in this
				State after the date the background check was performed, and a check of both
				criminal and non-criminal information as requested from and distributed to the
				Federal Bureau of Investigation and any other governmental agency. The
				Department may make such inquiries on the basis of answers to questions in the
				application or on the basis of any other information which the Department
				receives that would make such an inquiry relevant to the decision on the
				application.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 2 - LICENSING › Section 3:17-2.8 - Discontinuation of business activity

Current through Register Vol. 56, No. 14, July 15, 2024
(a) When a consumer
				lender or sales finance company discontinues its licensed business operations
				in New Jersey, the licensee shall:
1.
				Surrender the entity's current license as well as the license of each branch
				office;
2. Identify, in writing, if
				there are any New Jersey consumer loan retail installment sales contracts or
				retail charge account agreements being processed and provide the total number
				of any such transactions together with the consumers' names and addresses for
				each transaction;
3. Identify, in
				writing, the location of loan or agreement files required to be maintained
				under New Jersey law and regulations;
4. Identify, in writing, any arrangements
				that have been made to have other entities take over consumer loan or retail
				charge account agreement files together with complete information on the name,
				address, telephone number, and contact person of entities involved in such
				arrangements;
5. Identify, in
				writing, the name and telephone number of person(s) within the licensee's
				operation designated to handle any consumer problems that may arise;
6. Satisfy all outstanding obligations owed
				to the Department including all assessments due and owing and prepay the
				dedicated funding base assessment for the year of the discontinuance by paying
				the amount of the most recently billed base assessment within 15 days after
				ceasing business or upon being acquired. Adjustments to the base assessment, if
				any, and the final volume assessment for the year of discontinuance will be
				billed in the year following the discontinuance;
7. Satisfy all filing requirements including
				submitting a final annual report for the year in which the licensee
				discontinues its licensed business operations in New Jersey; and
8. Identify, in writing, the name, address,
				and phone number of the person within the licensee's operation responsible for
				the payment of assessments.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 2 - LICENSING › Section 3:17-2.9 - Licensee notification requirements

Current through Register Vol. 56, No. 14, July 15, 2024
(a) A licensee
				shall notify the Department in writing within 15 days of the occurrence of any
				of the following:
1. Upon each arrest,
				indictment or conviction of the licensee, or of any officer, director, partner,
				member, owner or substantial stockholder of the licensee in this State, in
				another state, or in any Federal jurisdiction for any offense, crime or
				misdemeanor, except for a motor vehicle violation;
2. Upon each revocation, denial, suspension
				or restraint of a business or professional license, registration, certificate
				or other right to engage in business issued to the licensee, or to any officer,
				director, partner, member, owner or substantial stockholder of the licensee, or
				to any affiliate thereof, by this State, by another state, by the Federal
				government, or by any agency or instrumentality thereof;
3. Upon filing a petition of bankruptcy or
				reorganization by the licensee, or by any officer, director, partner, member,
				owner or substantial stockholder of the licensee, or by any affiliate
				thereof;
4. Upon the fining,
				penalizing or disciplining of the licensee, or any affiliates, by this State,
				by another state, by the Federal government, or by any agency or
				instrumentality thereof; and
5.
				Upon the involvement of the licensee, or any officer, director, partner,
				member, owner or substantial stockholder of the licensee, or any affiliate
				thereof, in any activity that may have a substantial impact on the ability of a
				licensee to engage in the licensed activity in a prudent or worthy manner.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 3 - FEES › Section 3:17-3.1 - Fees-general

Current through Register Vol. 56, No. 14, July 15, 2024
All fees shall be paid by a check made payable to
				  "Treasurer--State of New Jersey."
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 3 - FEES › Section 3:17-3.2 - Application fees

Current through Register Vol. 56, No. 14, July 15, 2024
(a) An applicant
				for a new license or a branch office license for a consumer lender or a sales
				finance company shall pay an application fee for a company or branch office
				license under the Act to the Department as follows:
1. On an application for one license set
				forth in (a) above for either a consumer lender or a sales finance company: $
				700.00; and
2. On an application
				for one license set forth in (a) above for both a consumer lender and a sales
				finance company: $ 1,000.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 4 - NET WORTH, LIQUID ASSETS AND INSOLVENCY › Section 3:17-4.1 - Applicability of provisions

Current through Register Vol. 56, No. 14, July 15, 2024
The requirements of this subchapter shall apply to each
				  corporation, partnership, limited liability company, or sole proprietorship
				  that is licensed as a consumer lender or that is an applicant for a license as
				  a consumer lender.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 4 - NET WORTH, LIQUID ASSETS AND INSOLVENCY › Section 3:17-4.2 - Accounting method for determining net worth

Current through Register Vol. 56, No. 14, July 15, 2024
Net worth shall be computed on the accrual basis of
				  accounting.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 4 - NET WORTH, LIQUID ASSETS AND INSOLVENCY › Section 3:17-4.3 - Requirement to achieve and maintain net worth and liquid assets

Current through Register Vol. 56, No. 14, July 15, 2024
Each applicant for a license as a consumer lender shall
				  achieve and maintain the net worth and liquid assets as required by
				  17:11C-16.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 4 - NET WORTH, LIQUID ASSETS AND INSOLVENCY › Section 3:17-4.4 - Failure to maintain net worth or liquid assets; action by the Department

Current through Register Vol. 56, No. 14, July 15, 2024
(a) If the net
				worth or liquid assets of a consumer lender falls below the amounts required by
				17:11C-16, or if the consumer
				lender is insolvent, the Department may take such action as it deems
				appropriate and necessary to protect the public. The action may include
				requiring the consumer lender to operate pursuant to a memorandum of
				understanding, or directing the consumer lender to submit and comply with a
				capital plan within a time frame established by the Department to attain the
				net worth or liquid assets required by the Act.
(b) When considering whether to suspend,
				revoke or refuse to renew the license of a consumer lender who does not have
				the net worth or liquid assets required by the Act, the Commissioner shall
				consider the following factors:
1. How far the
				consumer lender is below the level of net worth or liquid assets required by
				the Act;
2. The correspondent
				relationship that a consumer lender may have with another financial
				institution;
3. The number and
				amount of loans typically made by the consumer lender;
4. The history of consumer complaints
				received by the Department concerning the consumer lender;
5. Whether the consumer lender has committed
				to make loans that it has been unable to fund; and
6. Any other factors reflecting on the
				ability and fitness of the consumer lender to transact business in its licensed
				capacity.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 5 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:17-5.1 - Methods and accounting

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Each licensee
				shall maintain books, records, accounts and documents related to the business
				in accordance with recognized accounting principles.
(b) If a person licensed to act as a consumer
				lender maintains books and records on a basis other than the accrual method of
				accounting, that licensee shall also maintain books and records on the accrual
				basis of accounting which states the net worth of the licensee.
(c) Licensees shall preserve all books,
				records, accounts and documents related to the business for at least three
				years after making the final entry on any application or loan.
(d) The denial or withdrawal of an
				application shall constitute the final entry for an application which is denied
				or withdrawn.
(e) The assignment or
				sale of a loan shall constitute the final entry for a loan which is sold or
				assigned.
(f) In the case of an
				open-end loan, the licensee shall preserve the books, accounts and records for
				at least three years after each entry.
(g) All books, records, accounts and
				documents may be stored electronically so long as the electronically stored
				information can be produced in electronic format upon request by the Department
				or reproduced on paper and delivered to the Department within five days of the
				licensee's receipt of a request from the Department to produce the
				records.
(h) In the case of a
				licensee that ceases to do business, the Commissioner may move and store
				abandoned books, accounts and records in whatever form and make a claim against
				the bond for costs of moving and storage.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 5 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:17-5.2 - Reproduction of documents

Current through Register Vol. 56, No. 14, July 15, 2024
A licensee may reproduce documents and records relating to
				  the operation of its business for the purpose of complying with this subchapter
				  and may substitute the copy for the original.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 5 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:17-5.3 - Location of books and records

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Each licensee
				shall notify the Department of the office in which the books and records are
				kept. If the licensee moves the books and records, the licensee shall notify
				the Department prior to the move.
(b) A licensee may keep its records at:
1. A licensed principal or branch office in
				or out of this State;
2. An
				unlicensed site in or out of this State, provided that the licensee secures the
				prior approval of the Department pursuant to (c) below; or
3. A licensed branch office outside of this
				State, provided that the licensee secures the prior approval of the Department
				pursuant to (c) below.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 5 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:17-5.4 - Loan numbering, original document envelope, and index requirement for consumer lenders

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Each consumer
				loan made shall have its proper consecutive or individual number and all
				instruments evidencing or securing any consumer loan shall bear the respective
				loan number.
(b) Each consumer
				lender shall maintain an alphabetical index of all borrowers, comakers,
				endorsers, guarantors and sureties that shall show the name of the borrower,
				loan number, date of loan and amount of loan.
(c) Each consumer lender shall maintain an
				envelope or other file for each loan in which shall be kept all the original
				notes, security agreements or other evidences of indebtedness or security,
				which have been signed by the borrower.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 5 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:17-5.5 - Documentation

Current through Register Vol. 56, No. 14, July 15, 2024
(a) The borrower,
				or an agent applying on behalf of a borrower, shall sign each loan application.
				If more than one borrower applies, each borrower and each agent applying on
				behalf of a borrower shall sign the application.
(b) Each credit report for which an applicant
				is charged a separate fee shall be memorialized in a written memorandum or
				other written documentation. The memorandum or documentation shall indicate
				that the credit history of the applicant was investigated and by whom.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 5 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:17-5.6 - Judgment records requirement for consumer lenders and sales finance companies

Current through Register Vol. 56, No. 14, July 15, 2024
(a) When a consumer
				lender or sales finance company has reduced a note to judgment, the licensee
				shall maintain a file containing the following information:
1. The date of judgment;
2. The judgment debtor's name and
				address;
3. The date suit was
				filed;
4. The nature of the
				suit;
5. The name and location of
				the court;
6. The amount of
				judgment, showing the separate items comprised in the judgment as follows:
i. Principal;
ii. Interest;
iii. Attorney's fees;
iv. Court cost (itemized); and
v. Total amount of judgment; and
7. A description of the legal
				procedures followed to enforce the judgment.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 5 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:17-5.7 - Motor vehicle lien requirement for consumer lenders

Current through Register Vol. 56, No. 14, July 15, 2024
Whenever a consumer loan or retail installment contract is
				  secured by a lien on a motor vehicle, it shall be the responsibility of the
				  consumer lender or sales finance company to see that the title to the motor
				  vehicle is in the name of the borrower. If the motor vehicle used as security
				  is the property of a comaker, surety or guarantor, then the title of such motor
				  vehicle shall be in the name of the comaker, surety or guarantor.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 5 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:17-5.8 - Retention of advertisements

Current through Register Vol. 56, No. 14, July 15, 2024
One copy of each advertisement, including radio and
				  television scripts, and any materials disseminated over the Internet or by any
				  other electronic means, shall be kept on file in the licensee's office for at
				  least two years after the last date on which any such advertisement was
				  utilized, said date to be noted on each such advertisement.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 5 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:17-5.9 - Copy of examination reports to licensee

Current through Register Vol. 56, No. 14, July 15, 2024
The official report of examination shall be submitted to the
				  licensee or to a representative of the licensee which has been designated by
				  the licensee for such purpose.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 5 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:17-5.10 - Charges for investigations

Current through Register Vol. 56, No. 14, July 15, 2024
For any person not licensed by the Department, the
				  Department may charge for investigations at the rate of $ 50.00 per hour. For
				  the purposes of this section, investigations for which the Department may
				  charge shall not include routine efforts by the consumer services unit to
				  research or resolve consumer complaints.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 5 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:17-5.11 - Reports to the Department

Current through Register Vol. 56, No. 14, July 15, 2024
Each consumer lender and sales finance company shall file a
				  report with the Department annually on or before May 1 of each year. The report
				  shall be submitted on forms provided by the Department and shall indicate the
				  net worth and liquid assets of the consumer lender, as required. In accordance
				  with 17:11C-43, the Department shall
				  assess a penalty against any consumer lender or sales finance company for each
				  annual report filed late up to $ 100.00 per day.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 6 - INSURANCE › Section 3:17-6.1 - Insurance matters for consumer lenders

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Consumer
				lenders are subject to the provisions concerning insurance set forth in
				17:11C-21.
(b) If insurance is lawfully required or
				obtained in connection with a loan, the insurance shall be written or obtained
				by or through an insurance producer who is licensed in good standing in this
				State, and written by an insurance company authorized to do business in this
				State.
(c) It shall be the
				responsibility of the consumer lender to explain clearly to each borrower the
				benefits and limitations of any credit life insurance, credit health or
				disability insurance, or credit involuntary unemployment insurance which the
				borrower contemplates obtaining in connection with a loan.
(d) Each consumer lender shall keep a record
				of all policies for credit life insurance, credit health or disability
				insurance, or credit involuntary unemployment insurance sold to a borrower in
				connection with a loan, all premiums collected in connection with such loans,
				all refunds of unearned premiums caused by payment in full of an amount or by
				renewal, and a detailed record of all claims paid by the insurer.
(e) If a consumer lender collects a premium
				from a borrower for credit life insurance, credit health or disability
				insurance, or credit involuntary unemployment insurance, and such insurance
				does not become effective, the consumer lender shall immediately give written
				notice to the borrower and shall promptly refund to or credit to the account of
				the borrower the amount collected from him or her or charged to him or her for
				such insurance.
(f) If a credit
				life policy issued in connection with a loan contains no provision for
				designation of a second beneficiary, it shall be handled under the usual
				procedure contained in a facility of payment clause authorizing the insurance
				company to pay any insurance in excess of the unpaid balance of the
				indebtedness to the estate, wife, husband, children or other blood relative or
				person equitably entitled thereto as determined by the insurance company.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 6 - INSURANCE › Section 3:17-6.2 - Insurance provisions applicable to consumer lenders

Current through Register Vol. 56, No. 14, July 15, 2024
(a) When a consumer
				loan is repaid in full or renewed, or if the insurance is terminated prior to
				the scheduled maturity date of a consumer loan, the consumer lender shall
				refund to the borrower any unearned insurance premiums.
(b) If a borrower has repaid a consumer loan
				in full, or if a beneficiary named in a policy under a claim is due a refund of
				unearned premiums and the consumer lender is unable to locate the borrower or
				beneficiary after due diligence, but in no event longer than 180 days, the
				licensee shall return all unearned premiums to the insurer, stating the reason
				therefor. The consumer lender shall file evidence in the borrower's file of his
				or her efforts to locate the borrower.
(c) All refunds and credits made by consumer
				lenders pursuant to this section shall be computed by the "Sum of Digits
				Method" commonly known as the "Rule of 78ths." These are rules for computing
				refunds of unearned finance charges on early payment of a loan so that the
				refund is proportional to the monthly unpaid balance. Tables for calculating
				refunds and credits according to this methodology can be obtained from
				Financial Publishing Company, 82 Brookline Drive, Brookline, MA 02212, (617)
				262-4040,
http://www.financial-publishing.com
.
				When the refund or credit of the unearned insurance premium is less than $
				1.00, no refund is required.
(d) If
				a borrower has credit life insurance, interest charges shall cease accruing on
				the account at the death of the insured.
(e) If a consumer loan contract contains
				credit life insurance, the consumer lender shall file a death claim with the
				insurer upon receipt of notice of the death of the insured. The death claim
				filed by a consumer lender with an insurer shall be made for the full amount of
				the coverage held at death by the insured.
(f) A policy for credit life insurance,
				credit health or disability insurance, or credit involuntary unemployment
				insurance may provide for the insurance of more than one person. If the policy
				is silent regarding whether the insurance covers more than one person, the
				person whose signature appears on the first line of the lines provided for the
				signatures on the loan contract shall be considered as the only borrower
				insured by the policy and the consumer lender shall disclose to the borrower in
				writing the effect of the order of signing the loan contract.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 7 - ADVERTISING › Section 3:17-7.1 - Advertising and insurance costs

Current through Register Vol. 56, No. 14, July 15, 2024
If a consumer lender requires a borrower to insure the
				  collateral assigned as security for a loan, the licensee shall not advertise
				  that there are "no other costs," or use words of similar meaning, unless the
				  terms represented in the advertisement include the cost of the insurance or
				  unless the advertisement states that an additional charge for insurance is
				  required.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 7 - ADVERTISING › Section 3:17-7.2 - Verbal advertisements

Current through Register Vol. 56, No. 14, July 15, 2024
Each verbal advertisement for a loan, which a licensee makes
				  or authorizes to be broadcast or disseminated by radio, television, Internet or
				  other electronic means, shall include a statement indicating whether the
				  advertisement is for a consumer loan, retail installment contract, or retail
				  charge account. The statement may be made by either verbal or visual means,
				  provided that, if visual means are used, the statement shall appear for the
				  entire time the advertisement is broadcast or disseminated.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 7 - ADVERTISING › Section 3:17-7.3 - Prohibited types of advertising

Current through Register Vol. 56, No. 14, July 15, 2024
(a) No advertising
				shall contain false, misleading or deceptive claims or misrepresentations. In
				all advertisements that make express or implied claims that are likely to be
				misleading in the absence of certain qualifying information, such qualifying
				information shall be disclosed in the advertisement in a clear and conspicuous
				manner.
(b) The use of any of the
				following types of advertising shall be deemed to be misleading or deceptive:
1. A form which has the appearance of a
				check, money order, draft or other instrument that is normally used for the
				transfer of funds, except that a consumer lender may use such an instrument if:
i. The consumer lender sends this type of
				solicitation only to current or prior customers of the consumer lender,
				including customers of consumer credit affiliates of the consumer
				lender;
ii. Each such solicitation
				allows the customer an option not to receive future solicitations of this
				type;
iii. The instrument is
				negotiable for not more than six months, and the consumer is advised to destroy
				the instrument if it is not going to be negotiated; and
iv. The solicitation contains the following
				statement in a prominent place in a 10-point print: "THIS IS A SOLICITATION FOR
				A LOAN. READ THE ENCLOSED DISCLOSURES BEFORE SIGNING THIS CHECK!";
				and
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 8 - CHARACTERISTICS OF LOANS › Section 3:17-8.1 - Provisions applicable to all licensees

Current through Register Vol. 56, No. 14, July 15, 2024
(a) No licensee
				shall charge an interest rate that is in excess of the rate permitted by
				2C:21-19.
(b) No licensee shall charge any fee other
				than those permitted by
				17:11C-33.
(c) A borrower may repay a consumer loan at
				any time without penalty.
(d) A
				licensee may only compute interest accrued between monthly payments using the
				365/365 method (actual number of days between payments) or the 360/360 method
				(each month assumed to be 30 days). Sales finance companies may charge a time
				price differential on retail charge accounts rather than interest.
(e) A borrower shall be given a copy of every
				document he or she is required to sign.
(f) Where any disclosure is required pursuant
				to this chapter that is also required by any Federal law or regulation,
				compliance with such Federal law or regulation shall be deemed to be compliance
				with this subchapter.
(g) No
				licensee shall require, as a precondition for the granting of credit, or for
				any other benefit or consideration from the licensee in connection with a loan,
				that the borrower engage in any other business activity with the licensee.
				Nothing in this subsection shall prohibit a licensee from offering to a
				borrower other services or products in connection with a loan.
(h) A licensee shall not require, nor
				receive, from a borrower a rebate of any portion of the proceeds of a loan that
				is not a permissible fee under
				17:11C-33.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 8 - CHARACTERISTICS OF LOANS › Section 3:17-8.2 - Consumer loans

Current through Register Vol. 56, No. 14, July 15, 2024
(a) All consumer
				loans, except variable rate loans permitted pursuant to
				17:11C-32, shall be repaid in
				substantially equal monthly installments of principal and interest computed on
				unpaid balances sufficient to liquidate the principal thereof, except as
				provided in subsection (b) below.
(b) In fixing the date of the first
				installment beyond one month, the number of days in excess of one month, but
				not in excess of 15 days, shall be counted after the expiration of one month
				from the date of the loan. The amount of the first installment may be increased
				by the amount of interest for the number of days in excess of one
				month.
(c) A consumer lender shall
				not knowingly grant a loan in one office to any borrower who already has a loan
				in another office operated by the same entity or by an affiliate, parent,
				subsidiary or under the same ownership, management or control, whether partial
				or complete.
(d) When a consumer
				lender knows or has reason to know that the proceeds of loan of $ 50,000 or
				less are to be delivered by the borrower to an individual already indebted to
				such consumer lender on a loan of $ 50,000 or less, then such loans shall be
				construed as a single loan to such individual for the purpose of interest
				computations. If the aggregate of such loans ever exceeds $ 50,000, interest on
				such accounts earned from the date such excess occurred shall be restricted to
				the rate on unpaid balances authorized by the Interest and Usury Law,
				31:1-1 et seq., and its
				implementing rule set forth at
				3:1-1.1.
(e) Whenever a consumer lender has placed an
				account in the hands of an attorney or other agent for collection, all payments
				thereafter received by the consumer lender or by such attorney or agent, prior
				to entry of judgment on such account, shall be credited by the consumer lender
				to the account as of the date of receipt of such payment to the licensee or to
				such attorney or agent, and any such attorney or agent shall notify the
				consumer lender of the day any such payment is received.
(f) All out-of-State loans purchased shall be
				reported as a separate item in the consumer lender's annual report to the
				Commissioner.
(g) The required
				information concerning the amount of interest payable over the term of the loan
				shall be given on the assumption that the contract will be paid in accordance
				with the terms originally agreed upon. A variance tolerance of $ 1.00 in the
				total amount of interest set forth in the loan contract is hereby authorized.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 9 - OTHER PERMISSIBLE LINES OF BUSINESS FOR CONSUMER LENDERS › Section 3:17-9.1 - All activities prohibited except as authorized by this subchapter

Current through Register Vol. 56, No. 14, July 15, 2024
No consumer lender shall conduct any business activities in
				  its office except activities authorized under the consumer lending license,
				  activities specified in
				  3:17-9.2, and activities for which
				  the consumer lender has obtained specific approval from the Commissioner as
				  provided in
				  3:17-9.2.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 9 - OTHER PERMISSIBLE LINES OF BUSINESS FOR CONSUMER LENDERS › Section 3:17-9.2 - Approved business activities for consumer lenders

Current through Register Vol. 56, No. 14, July 15, 2024
(a) A consumer
				lender may engage in the activities related to that license without securing
				specific approval from the Commissioner. The activities may be conducted in the
				same office, room or place of business where the consumer lender conducts the
				business of making consumer loans.
1. Any
				licensed activity permitted under the Act provided that the consumer lender
				secures proper licensing from the Department;
2. Mortgage loan business. Any such business
				shall be conducted in accordance with the provisions of the New Jersey
				Residential Mortgage Lending Act,
				17:11C-51 et seq., provided that
				the consumer lender secures proper licensing from the Department;
3. The home repair financing agency business.
				Any such business shall be conducted in accordance with the provisions of
				17:16C-62 et seq., the Home Repair
				Financing Act;
4. The insurance
				premium finance company business. Any such business shall be conducted in
				accordance with the provisions of
				17:16D-1 et seq., the Insurance
				Premium Finance Company Act;
5. The
				making of business or commercial loans;
6. The financing of installment contracts
				involving the time sale of goods or services that are to be utilized by the
				buyer for business or commercial purposes;
7. The leasing of personal property for
				business or commercial purposes;
8.
				Income tax preparation service;
9.
				First lien loans on non-residential real property provided that such business
				is conducted in accordance with the provisions of
				31:1-1 et seq., N.J.A.C. 3:1 or
				Sections 501 et seq., of the Federal Depository Institutions Deregulation and
				Monetary Control Act of 1980, P.L. 96-221; and
10. Purchase of owner originated second
				mortgages under such reasonable terms and conditions as may be agreed to
				between the consumer lender and the mortgagee.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 9 - OTHER PERMISSIBLE LINES OF BUSINESS FOR CONSUMER LENDERS › Section 3:17-9.3 - Suspensions or revocations of approved business activities

Current through Register Vol. 56, No. 14, July 15, 2024
The Commissioner may, by written directive and after the
				  licensee has been provided with notice and an opportunity to be heard, suspend
				  or revoke a licensee's approval to engage in any of the business activities
				  specified in
				  3:17-9.2 if it is determined that
				  the licensee has violated the Act or this chapter.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 10 - IMPOSITION OF ADMINISTRATIVE PENALTIES › Section 3:17-10.1 - Administrative penalties

Current through Register Vol. 56, No. 14, July 15, 2024
(a) The
				Commissioner may refuse to issue and may revoke, suspend or refuse to renew a
				license, or impose a penalty pursuant to the Act, if the Commissioner finds,
				after notice and an opportunity for a hearing in accordance with the
				Administrative Procedure Act,
				52:14B-1 et seq., that any person,
				applicant for or holder of the license has:
1.
				Violated any of the provisions of the Act or any order, rule or regulation made
				or issued pursuant to the Act;
2.
				Failed at any time to meet the requirements for licensure, or withheld
				information or made a material misstatement in an application for a
				license;
3. Been convicted of an
				offense involving breach of trust, moral turpitude or fraudulent or dishonest
				dealing, or had a final judgment entered against the person in a civil or
				administrative action upon grounds of fraud, misrepresentation, or deceit, or
				failure to maintain books, accounts, records and other documents as required by
				17:11C-19 or N.J.A.C.
				3:17-5;
4. Become insolvent, or
				failed to attain or maintain the required net worth;
5. Demonstrated unworthiness, incompetence,
				bad faith or dishonesty in the transaction of business as a licensee;
				or
6. Engaged in any other conduct
				which would be deemed by the Commissioner to be the cause for denial,
				revocation, suspension, or refusal of the license or license renewal.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 10 - IMPOSITION OF ADMINISTRATIVE PENALTIES › Section 3:17-10.2 - Initiation of action

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Before an
				administrative penalty is imposed, the Department shall direct a notice by
				certified mail and regular mail, or by personal delivery, to the last known
				business or mailing address of the alleged violator. The notice shall include:
1. A reference to the statute, rule and/or
				administrative order alleged to be violated;
2. A concise statement of the facts on which
				the violation is based;
3. A
				statement of the administrative penalty, penalties or other relief sought to be
				imposed; and
4. A statement
				advising the alleged violator of the right to a hearing and the procedure for
				requesting a hearing.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 10 - IMPOSITION OF ADMINISTRATIVE PENALTIES › Section 3:17-10.3 - Failure to respond to notice

Current through Register Vol. 56, No. 14, July 15, 2024
(a) The alleged
				violator's failure to respond, as required by the notice, within the time
				provided in the notice, shall be deemed to be an admission of all of the
				allegations, charges and conclusions contained in the notice, and no further
				proceeding shall be required prior to the execution of a final order that
				imposes the administrative penalty, penalties or other relief described in the
				notice.
(b) If no response is
				received within the time provided in any notice to suspend or revoke a license
				or authority to conduct any activity regulated by the Act, the Department shall
				prepare a final order suspending or revoking the license or authority to
				conduct such activity, and mail a copy of the order to the violator at his or
				her last known business address on file with the Department.
(c) If the notice issued pursuant to this
				section provided for the payment of any fine, restitution or reimbursement to
				the Department for investigative or examination cost, and payment or proof of
				payment has not been received, the Department may proceed without further
				notice to suspend or revoke the license or authority of the violator as
				provided in
				17:11C-18.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 10 - IMPOSITION OF ADMINISTRATIVE PENALTIES › Section 3:17-10.4 - Consent to an administrative penalty

Current through Register Vol. 56, No. 14, July 15, 2024
(a) In order for
				matters set forth in a notice to be deemed concluded by means of a consent by
				the alleged violator to the imposition of the administrative penalty or other
				relief described in the notice, the Department may require any or all of the
				following:
1. That the licensee return his or
				her license to the Department for cancellation;
2. The payment of a monetary
				penalty;
3. The reimbursement to
				the Department of the costs of investigation and examination;
4. The restitution of moneys owed any person;
				and
5. The execution of an
				administrative order that may include admissions of material facts, conclusions
				of law, and such other terms and conditions as the Commissioner, or his or her
				authorized designee, may deem to be necessary and appropriate under the
				circumstances.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 17 - CONSUMER LENDERS AND SALES FINANCE COMPANIES › Subchapter 10 - IMPOSITION OF ADMINISTRATIVE PENALTIES › Section 3:17-10.5 - Request for a hearing

Current through Register Vol. 56, No. 14, July 15, 2024
(a) An alleged
				violator shall have 20 calendar days from service of the notice of intent to
				impose an administrative penalty within which to deliver a written request for
				a hearing to: Chief of Investigations, Enforcement Bureau, New Jersey
				Department of Banking and Insurance, PO Box 040, Trenton, New Jersey
				08625-0040.
(b) A request for a
				hearing shall include:
1. The name, address
				and daytime telephone number of the alleged violator;
2. A copy of the notice;
3. A statement requesting a
				hearing;
4. A specific admission,
				denial or explanation of each fact alleged in the notice, or a statement that
				the person is without knowledge thereof; and
5. A concise statement of the facts or
				principles of law asserted to constitute any factual or legal
				defense.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 18 - FORECLOSURE CONSULTANTS › Subchapter 1 - GENERAL PROVISIONS › Section 3:18-1.1 - Purpose and scope

Current through Register Vol. 56, No. 14, July 15, 2024
(a) This chapter
				sets forth requirements applicable to the licensure and operations of
				foreclosure consultants pursuant to the provisions of
				46:10B-53 et seq.
(b) This chapter applies to all persons who
				act as, offer to act as, or hold themselves out as being foreclosure
				consultants in this State.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 18 - FORECLOSURE CONSULTANTS › Subchapter 1 - GENERAL PROVISIONS › Section 3:18-1.3 - Location

Current through Register Vol. 56, No. 14, July 15, 2024
(a) An application
				for a license as a business licensee shall specify the address of the principal
				location from which the business licensee shall conduct foreclosure consulting
				activity and at which it may be contacted by the Department as referenced in
				3:18-2.2(a) and
				(b).
(b) A business licensee changing its name,
				the address of its principal office, or its email address shall comply with
				3:1-7.1 and 7.4, as applicable.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 18 - FORECLOSURE CONSULTANTS › Subchapter 2 - LICENSE REQUIREMENTS › Section 3:18-2.2 - Application for a license

Current through Register Vol. 56, No. 14, July 15, 2024
(a) No person shall
				act as, offer to act as, or hold himself or herself out to be, a foreclosure
				consultant or use the designation foreclosure consultant, foreclosure
				consultant specialist, or similar designation in this State unless licensed by
				the Commissioner as set forth in the Act.
1. A
				complete application as prescribed by the Commissioner which shall include the
				following:
i. The legal name of the
				applicant, any trade or alternate name in which the applicant intends to
				operate, the official e-mail address of the applicant, and the business address
				of the principal office from which the applicant will conduct foreclosure
				consulting activity and at which the applicant may be contacted by the
				Department;
ii. The identification
				of any additional locations at which the applicant will engage in the business
				of foreclosure consulting on an ongoing basis. All such locations shall conform
				to all applicable local laws and ordinances and shall be conducive to the
				maintenance of the confidentiality of the personal identification and financial
				information of all consumers to whom the applicant provides any distressed
				property services, in accordance with all applicable Federal and State laws and
				rules;
iii. If different from the
				principal business location referenced in (a)1i above, the primary contact
				location of the applicant, including its mailing and e-mail
				addresses;
iv. A designation of the
				location at which the records of the applicant shall be maintained;
v. If the applicant is a business entity
				other than a sole proprietorship, information identifying all partners, all
				members and managers of a limited liability company, corporate officers,
				directors, and stockholders owning 10 percent or more of the shares of a
				corporation, and a personal certification from all such individuals.
vi. The name and address of the applicant's
				registered agent in this State; and
vii. The applicant's Federal Tax
				Identification Number or Social Security Number, as applicable;
New Jersey Administrative Code › Title 3 - BANKING › Chapter 18 - FORECLOSURE CONSULTANTS › Subchapter 2 - LICENSE REQUIREMENTS › Section 3:18-2.3 - Terms of licenses

Current through Register Vol. 56, No. 14, July 15, 2024
Beginning July 1, 2013, the term for foreclosure consultant
				  licenses shall be two years. The term shall begin on July 1 of each odd
				  numbered year and end on June 30 of the next odd numbered year as set forth in
				  3:23-2.2(b). All
				  renewed licenses and all licenses initially issued or reinstated during a
				  license term shall expire on June 30 of the year in which that license term
				  will terminate.