Ohio Administrative Code › Title 1301:8 - Division of Financial Institutions: Consumer Finance › Chapter 1301:8-3 - Second Mortgage Loan Act › Section 1301:8-3-05 - Advertising

Current through all regulations passed and filed through July 1, 2024
(A) The following
			 advertising requirements shall be observed by all registrants:
(1) The words "advertisement" and
			 "advertising," as used in section
			 1321.51 to
			 1321.60 of the Revised Code and
			 this chapter, shall include all material printed, published, displayed,
			 distributed or broadcast for the purpose of obtaining applications for loans.
			 Materials displayed or distributed over the internet, telephone, facsimile, or
			 other electronic transmission for the purposes of obtaining applications for
			 loans are considered advertising for purposes of this rule.
(2) A registrant shall not advertise that
			 loans will be made at any place other than that named in the certificate of
			 registration. Every advertisement shall state and clearly indicate the identity
			 of the registrant and shall do so in such a manner that prevents confusion with
			 the name of any other unrelated registrant. Registrants shall be identified by
			 means of tradenames, service marks or business names which are filed with the
			 division of financial institutions and Ohio secretary of state.
(3) A registrant shall not use loan
			 advertisements which provide only telephone or facsimile numbers or newspaper
			 box addresses and do not clearly indicate the identity of the registrant.
(4) A registrant shall not
			 advertise that loans shall be made within a specified time after the loan
			 application is received, unless it is the general practice of the registrant to
			 make loans within the specified time.
(5) A registrant shall not advertise special
			 terms, reduced rates, reduced payments, or any other special feature of a loan
			 within a specified limited time, unless the advertisement clearly states any
			 limitations that apply to the offer.
(6) A registrant shall not advertise by the
			 use of unqualified superlatives, including but not limited to "lowest rates,"
			 "lowest costs," "lowest payment plan," or "cheapest loans," or by making offers
			 which cannot be reasonably fulfilled.
(7) A registrant shall not advertise the
			 words "new" or "reduced," or words of similar import, in connection with rates,
			 costs, payments or plans, for more than ninety days after the rates, costs,
			 payments or plans shall have become effective.
(8) Any registrant specifying in any
			 advertisement charges on loans in dollars shall also state the length of time
			 required to repay the loans as well as the method of repayment, and shall, when
			 the rate of interest is stated, do so in a manner to prevent misunderstanding.
(9) Any registrant advertising
			 flat or average payments on loans which include principal and interest shall
			 specify the number and frequency of payments required to repay the loans.
			 Whenever the amounts of periodic payments are advertised, the amounts must
			 include all interest to the borrower, as well as principal. The principal
			 payments alone may be shown separately provided the interest charges are also
			 clearly stated with equal prominence.
(10) A registrant shall not advertise
			 rebates, rates, or charges below the maximum lawful rate of interest which are
			 conditioned upon prompt payment unless such the condition is clearly indicated.
(11) A registrant shall not
			 advertise:
(a) Waiver of payments in the
			 event of sickness or disability or other contingency, without advertising that
			 the interest and other charges, if assessed, continue during the waiver period.
(b) That the first payment on any
			 loan may be made more than thirty days after the date of loan closing, without
			 advertising that the interest and other charges, if assessed, will accrue from
			 the date of disbursement of the loan funds until the first payment is due.
(12) A registrant shall
			 not advertise for loans for illegal purposes.
(13) A registrant shall not advertise
			 specific amounts of loans to be made on designated makes and models of
			 automobiles unless it is also stated that the amounts so specified are only the
			 average loan values and are subject to the actual condition of such the
			 automobiles.
(14) A registrant
			 shall not give, or advertise an offer to give any article or merchandise or
			 anything of value, other than a reduction in interest, as an inducement to a
			 borrower to make a loan.
(15) A
			 registrant shall not advertise the availability of credit-related insurance
			 without disclosing the charge, if any, for the insurance.