Michigan HB4116 amends pawnbroker interest rates, increasing the allowable monthly rate to 5%.

Michigan HB4116 amends the state's pawnbroker regulations by increasing the allowable monthly interest rate from 3% to 5%. This change applies to loans made by licensed pawnbrokers, who must also charge a minimum of 50 cents in interest per single loan. Additionally, pawnbrokers can charge up to $3.00 per month for storage. The bill mandates that pawnbrokers provide borrowers with a signed memorandum detailing the loan terms, and warns that any loans with interest rates exceeding the new cap are void. This amendatory act will only take effect if House Bill No. 4115 is enacted into law.

Michigan HB4116 amends pawnbroker interest rates, increasing the allowable monthly rate to 5%.

Michigan HB4116 amends the state's pawnbroker regulations by increasing the allowable monthly interest rate from 3% to 5%. This change applies to loans made by licensed pawnbrokers, who must also charge a minimum of 50 cents in interest per single loan. Additionally, pawnbrokers can charge up to $3.00 per month for storage. The bill mandates that pawnbrokers provide borrowers with a signed memorandum detailing the loan terms, and warns that any loans with interest rates exceeding the new cap are void. This amendatory act will only take effect if House Bill No. 4115 is enacted into law.