Michigan HB5994 allows premium finance companies to collect fees for processing electronic payments.

Michigan HB5994 amends the insurance premium finance agreement to allow premium finance companies to collect fees for processing payments made by credit card, debit card, electronic funds transfer, electronic check, or other electronic means. The fee must not exceed the actual costs incurred by the company. The bill specifies that the fee cannot be refundable and may be charged in addition to other interest and fees allowed by law. It also prohibits charging a fee on debit card or prepaid card transactions if the payment card network provides certain notifications and options to the insured.

Michigan HB5994 allows premium finance companies to collect fees for processing electronic payments.

Michigan HB5994 amends the insurance premium finance agreement to allow premium finance companies to collect fees for processing payments made by credit card, debit card, electronic funds transfer, electronic check, or other electronic means. The fee must not exceed the actual costs incurred by the company. The bill specifies that the fee cannot be refundable and may be charged in addition to other interest and fees allowed by law. It also prohibits charging a fee on debit card or prepaid card transactions if the payment card network provides certain notifications and options to the insured.