Michigan HB5161 amends financial institution lending practices by modifying interest charges and fees.

Michigan HB5161 modifies financial institution lending practices by adjusting interest charges and fees. It allows licensees to charge late fees as permitted by the Credit Reform Act, 1995. The bill prohibits licensees from inducing borrowers to take on more than one unsecured loan simultaneously to obtain a loan processing fee. It also allows for handling fees for returned checks and recovery of costs for retaking and selling personal property. The bill sets a limit on loan processing fees and mandates adjustments every two years based on the Consumer Price Index.

Michigan HB5161 amends financial institution lending practices by modifying interest charges and fees.

Michigan HB5161 modifies financial institution lending practices by adjusting interest charges and fees. It allows licensees to charge late fees as permitted by the Credit Reform Act, 1995. The bill prohibits licensees from inducing borrowers to take on more than one unsecured loan simultaneously to obtain a loan processing fee. It also allows for handling fees for returned checks and recovery of costs for retaking and selling personal property. The bill sets a limit on loan processing fees and mandates adjustments every two years based on the Consumer Price Index.