Legal Status: Legal (Applies to check cashers only)
Citation:
Miss. Code Ann. § 75-67-501 et seq.
Loan Terms:
Maximum Loan Amount: $400
Loan Term: Max: 30 days
Maximum Finance Rate and Fees: 18% of check
Finance Charge for 14-day $100 loan: $22
APR for 14-day $100 loan: 572%
Debt Limits:
Maximum Number of Outstanding Loans at One Time: Not Specified
Rollovers Permitted: None (cannot renew or otherwise extend)
Cooling-off Period:
Repayment Plan:
Collection Limits:
Collection Fees: NSF fee; Court-awarded fees (if disclosed)
Criminal Action: Prohibited (When check returned due to NSF)
Where to Complain, Get Information:
Regulator: Mississippi Department of Banking and Consumer Finance
Address: 901 Woolfolk Building, Suite A 501 N. West Street Jackson MS 39201
Phone: (601) 359-1031
Fax: (601) 359-3557
Applicability: To check cashers. Otherwise, small loan regulatory law applies. Miss. Code Ann. § 75-17-21 (36% per year on loans up to $1000).
Licensing requirements: Department of Banking & Consumer Finance enforces. Must not have been convicted of a felony within last ten years; file a bond of $10,000. Must submit a set of fingerprints to the enforcement agency; show a net worth of at least $20,000 for the first license and $5,000 for each additional license which is required for each additional location. Must pay an initial fee of $750 and $475 for each renewal. The Department may charge a fee of up to $300 to examine the books and records of any licensee plus any actual expenses.
Exemptions: Any bank, trust company, savings association, savings and loan association, savings bank or credit union domiciled in the state; any person who cashes a check for free; retail seller of goods or services who cashes checks from time to time as an incident or independently of a retail sale and does not charge more than 3% of face amount of check or $10 whichever is greater.
Permitted charges: 18% of the face amount of the check.
Prohibited acts: Cannot accept a postdated check. Cannot accept a check without identification. Cannot institute criminal prosecution for a check returned due to insufficient funds with the intent of aiding in the collection of or enforcing payment of the amount of the check. Cannot defer deposit of a check exceeding $400 on the face of the check. Each customer is limited to a maximum amount of $400 at any one time. Cannot offer coupon redemption, catalog sales or other similar inducements as part of the transaction. May not charge a late fee or collection fee as a result of a returned check or the default of the customer unless awarded by the court. Cannot charge the consumer for a money order or check if the licensee pays the customer in that form.
Required disclosures: Display license in conspicuous place in business. Display fee schedule in a conspicuous place in business. Must be a written agreement signed by customer and licensee which shall contain the total amount as a dollar amount and as an APR.
Loan terms: Can defer deposit of check for up to 30 days.
Civil / Criminal Penalties: Misdemeanor to operate without a license, punishable by up to one year in prison or up to $1,000 fine or both. If willful violation of any provision of the act, can be fined up to $1,000 per violation. Commissioner may impose a civil penalty for any violation of the act of up to $500 per violation.
Enforcement: Commissioner may suspend or revoke the license for specific reasons. May issue cease and desist order and obtain injunction from a court.
