MCA Chapter 67

in effect

Miss. Code Ann. § 75-67-1 Pawnbrokers; application of article to.

The provisions of Sections 75-67-39 and 75-67-41 shall be inapplicable to pawnbrokers as defined and regulated in Sections 75-67-301 through 75-67-343.

Miss. Code Ann. § 75-67-3 Repealed.

Repealed by Laws, 1993, ch. 598, § 24, eff from and after July 1, 1993. § 75-67-3 . [Codes, 1906, § 3155; Hemingway’s 1917, § 5512; 1930, § 1952; 1942, § 5571; Laws, 1932, ch. 265; Laws, 1958, ch. 169, § 2] § 75-67-5 . [Codes, 1906, § 3156; Hemingway’s 1917, § 5513; 1930, § 1953; 1942, § 5572; Laws, 1958, ch. 169, § 3] § 75-67-7 . [Codes, 1906, § 3157; Hemingway’s 1917, § 5514; 1930, § 1954; 1942, § 5573; Laws, 1958, ch. 169, § 4] § 75-67-9 . [Codes, 1906, § 3158; Hemingway’s 1917, § 5515; 1930, § 1955; 1942, § 5574] § 75-67-11 . [Codes, 1906, § 3159; Hemingway’s 1917, § 5516; 1930, § 1956; 1942, § 5575; Laws, 1991, ch. 309, § 1] § 75-67-13 . [Codes, 1906, § 3160; Hemingway’s 1917, § 5517; 1930, § 1957; 1942, § 5576] § 75-67-15 . [Codes, 1906, § 3161; Hemingway’s 1917, § 5518; 1930, § 1958; 1942, § 5577] § 75-67-17 . [Codes, 1906, § 3162; Hemingway’s 1917, § 5519; 1930, § 1959; 1942, § 5578] § 75-67-19 . [Codes, 1906, § 3163; Hemingway’s 1917, § 5520; 1930, § 1960; 1942, § 5579] § 75-67-21 . [Codes, 1906, § 3164; Hemingway’s 1917, § 5521; 1930, § 1961; 1942, § 5580] § 75-67-23 . [Codes, 1906, § 3165; Hemingway’s 1917, § 5522; 1930, § 1962; 1942, § 5581] § 75-67-25 . [Codes, 1906, § 3166; Hemingway’s 1917, § 5523; 1930, § 1963; 1942, § 5582; Laws, 1968, ch. 361, § 8] § 75-67-27 . [Codes, 1906, § 3167; Hemingway’s 1917, § 5524; 1930, § 1964; 1942, § 5583; Laws, 1958, ch. 169, § 5] § 75-67-29 . [Codes, 1906, § 3168; Hemingway’s 1917, § 5525; 1930, § 1965; 1942, § 5584] § 75-67-31 . [Codes, § 3169; Hemingway’s 1917, § 5526; 1930, § 1966; 1942, § 5585; Laws, 1958, ch. 169, § 6] § 75-67-33 . [Codes, Hemingway’s 1917, § 5528; 1930, § 1968; 1942, § 5587; Laws, 1914, ch. 112; Laws, 1958, ch. 169, § 7] § 75-67-35 . [Codes, Hemingway’s 1917, § 5529; 1930, § 1969; 1942, § 5588; Laws, 1914, ch. 112] § 75-67-37 . [Codes, Hemingway’s 1917, § 5530; 1930, § 1970; 1942, § 5589; Laws, 1914, ch. 112] Editor’s Notes — Former § 75-67-3 was entitled: Loaning money on personal property; license required. Former § 75-67-5 was entitled: Licensee to give bond. Former § 75-67-7 was entitled: Sureties on bond subject to suit. Former § 75-67-9 was entitled: Additional bond may be required, when. Former § 75-67-11 was entitled: Books to be kept; information required on pawn ticket; records to be kept by pawnbrokers. Former § 75-67-13 was entitled: Renewals and partial payments. Former § 75-67-15 was entitled: Mayor, sheriff or grand jury may inspect books. Former § 75-67-17 was entitled: Penalty. Former § 75-67-19 was entitled: Fees for investigating security or title. Former § 75-67-21 was entitled: Usury, how considered. Former § 75-67-23 was entitled: What charges unlawful. Former § 75-67-25 was entitled: License, by whom issued. Former § 75-67-27 was entitled: Penalty for failure to obtain license. Former § 75-67-29 was entitled: License, when void. Former § 75-67-31 was entitled: Warrants against borrowers. Former § 75-67-33 was entitled: Excess rate of charge presumed, unless negative affidavit filed with sheriff showing also list of borrowers. Former § 75-67-35 was entitled: Loans contrary to provisions of this article made misdemeanors; penalty. Former § 75-67-37 was entitled: One-half of fines collected to be used as prosecution fund.

Miss. Code Ann. § 75-67-39 Interest charges with respect to monthly or weekly installment loans.

Any persons, natural or artificial, including domestic and foreign corporations, lending money in this state, to be paid back in monthly or weekly installments, may charge interest thereon at the rate of seven percent (7%) per annum or less, unless otherwise specifically authorized by law, for the entire period of the loan, and aggregate the principal and interest for the entire period of the loan, and divide the same into monthly or weekly installments, and may take security therefor by mortgage, deed of trust, or title, with waiver of exemption, upon and to real estate or personal property, or both.

Miss. Code Ann. § 75-67-41 Loan paid before maturity; how.

In any such loan contract as authorized in Section 75-67-39, provision may be made requiring the borrower, upon exercising any option to repay the loan before maturity, or upon any default in the payment of the monthly instalments of principal and interest, or upon the breach of any covenant entitling the lender to declare the whole indebtedness due and payable and to a foreclosure of the security, to repay the loan upon the following basis of settlement: The principal debt, with interest thereon at the rate of ten percent (10%) per annum, and allowing credit for all payments of instalments of principal and interest upon loan, with interest thereon at the rate of ten percent (10%) per annum from date of payment to said lender, computed annually in accordance with the laws of the State of Mississippi. Any such loan contract, and all provisions thereof, shall be valid for the amount of the principal and interest charged, and such contracts shall not be held usurious.

Miss. Code Ann. § 75-67-101 Purpose of article.

This article is hereby declared to be a public necessity and is remedial in purpose and the same shall be liberally construed to effectuate the purposes thereof and shall be known as the “Small Loan Regulatory Law” of this state.

Miss. Code Ann. § 75-67-103 Definitions.

The following words and phrases, when used in this article, shall, for the purposes of this article, have the meanings respectively ascribed to them in this section, except where the context clearly describes and indicates a different meaning: “Person” means and includes every natural person, firm, corporation, copartnership, joint-stock or other association or organization, and any other legal entity whatsoever. “Licensee” means and includes every person holding a valid license issued under the provisions of the Small Loan Privilege Tax Law (Section 75-67-201 et seq.) of this state, except those specifically exempt by the provisions of this article, who, in addition to any other rights and powers he or it might otherwise possess, shall engage in the business of lending money either directly or indirectly, to be paid back in monthly installments or other regular installments for periods of more or less than one (1) month, and whether or not the lender requires security from the borrower as indemnity for the repayment of the loan. “Occasional lender” means a person making not more than one (1) loan in any month or not more than twelve (12) loans in any twelve-month period. “Commissioner” means the Commissioner of Banking and Consumer Finance of the State of Mississippi. “Department” means the Department of Banking and Consumer Finance of the State of Mississippi. “Records” or “documents” means any item in hard copy or produced in a format of storage commonly described as electronic, imaged, magnetic, microphotographic or otherwise, and any reproduction so made shall have the same force and effect as the original thereof and be admitted in evidence equally with the original.

Miss. Code Ann. § 75-67-105 License required.

No person shall engage in the business of lending money except as authorized by this article, and without being the holder of a valid and subsisting license to engage in such business as provided by the Small Loan Privilege Tax Law (Section 75-67-201 et seq.). Every person engaged in the business of lending money as authorized by this article shall have a physical office located in the State of Mississippi. A separate license is required for each office doing business in the State of Mississippi. Each electronic loan processing machine owned or operated by a licensed office is required to possess a separate license and have a permanent address with loan records to be maintained in a designated licensed office in the state.

Miss. Code Ann. § 75-67-107 Responsibility for administering provisions of Article 3.

The provisions of this article shall be enforced and administered by the state comptroller of banks and his duly authorized agents, representatives and employees.

Miss. Code Ann. § 75-67-109 Misleading advertising.

It shall be a violation of this article for any licensee to advertise, print, display, publish, broadcast or permit to be advertised, printed, displayed, published or broadcast, in any manner whatsoever, any statement or representation with regard to rates, terms or conditions of lending money or for arranging, negotiating, procuring, or guaranteeing any loan or loans for any person which is false, misleading or deceptive. It shall also be a violation of this article for any licensee to offer or give to any borrower or prospective borrower any premium of any sort, whether by cash, check or goods or merchandise as an inducement to the making, brokering or renegotiation of any loan if (a) such premium amount is charged, directly or indirectly, to the borrower or prospective borrower; or (b) such inducement is undertaken without prior notification in such form as recommended by the commissioner.

Miss. Code Ann. § 75-67-111 Licensees to keep records; requirements as to.

Each licensee shall keep and use in his business such books, accounts and other records which shall be in accordance with sound and accepted business practices and shall be in such form as will clearly reflect all loan transactions for every borrower and will enable the commissioner to determine whether the licensee is complying with the provisions of this article, or the Small Loan Privilege Tax Law (Section 75-67-201 et seq.). Such records shall be kept with respect to each loan transaction for a period of at least twenty-four (24) months after the final transaction on such loan. The records shall be kept in accordance with instructions of the commissioner and, in addition to any information which may be required by the commissioner, such records shall be so maintained as to clearly reflect, over the signature of the borrower, the following: Cash received by the borrower; Charges for interest; Charges for recording fees and insurance, if any; Total amount of note; Period of time for which loan is extended; and Federal annual percentage rate and the state contract rate. All such records shall be open to the inspection of the commissioner or his duly authorized representatives at all times during regular business hours. Any suit brought against a licensee by any person on account of the violation or alleged violation of any of the provisions of this article with reference to any loan transaction shall be brought within twenty-four (24) months after the final maturity date of the loan, and not thereafter.

Miss. Code Ann. § 75-67-113 Access to records, etc.

The comptroller or his duly authorized representatives shall have free access to the records, offices, places of business, safes and vaults of all licensees for the purpose of determining whether such licensee is complying with the provisions of this article and any regulations made hereunder. The comptroller shall have the authority to require the attendance of any and all persons and to examine such persons under oath relative to any loan transactions which are the subject matter of any examination, investigation or hearing held under any of the provisions of this article.

Miss. Code Ann. § 75-67-115 Expenses of examinations; paid by licensee.

The commissioner may charge the licensee an examination fee in an amount not less than Three Hundred Dollars ($300.00) nor more than Six Hundred Dollars ($600.00) for each office or location within the State of Mississippi, plus any actual expenses incurred while examining the licensee’s records or books that are located outside the State of Mississippi. However, in no event shall a licensee be examined more than once in a two-year period unless for cause shown based upon consumer complaint and/or other exigent reasons as determined by the commissioner. All expense fees paid to the commissioner shall be deposited by the commissioner in the State Treasury in a special and separate fund to be known as the “Consumer Finance Fund.”

Miss. Code Ann. § 75-67-117 Repealed.

Repealed by Laws, 1974, ch. 564, § 8, eff from and after July 1, 1974. [Codes, 1942, § 5591-09; Laws, 1958, ch. 170, § 9]

Miss. Code Ann. § 75-67-119 Penalties for imposition of excessive finance charges.

If any finance charge in excess of that expressly permitted by Section 75-17-21 or 75-67-181 is contracted for or received, all finance charges and other charges shall be forfeited and may be recovered, whether the contract be executed or executory. If any finance charge is contracted for or received that exceeds the maximum finance charge authorized by law by more than one hundred percent (100%), the principal and all finance charges and other charges shall be forfeited and any amount paid may be recovered by suit; and, in addition, the licensee and the several members, officers, directors, agents, and employees thereof who shall have participated in such violation shall be guilty of a misdemeanor and, upon conviction thereof, shall be punished by a fine of not more than One Thousand Dollars ($1,000.00) and not less than One Hundred Dollars ($100.00), in the discretion of the court; and, further, the Commissioner of Banking and Consumer Finance shall forthwith cite such licensee to show cause why its license should not be revoked and proceedings thereon shall be as is specifically provided in the Small Loan Privilege Tax Law (Section 75-67-201 et seq.).

Miss. Code Ann. § 75-67-120 Deferral of installment of loan made by small loan licensee; charge for deferral; rules and regulations.

With respect to any loan made or handled by a licensee hereunder, the licensee and the borrower may, at any time, agree to a deferral of all or part of one or more unpaid installments, and the licensee may make and collect a charge therefor, subject to the following provisions: A deferral postpones the scheduled due date of an installment or installments as originally scheduled, or as previously deferred, for the deferment period. The deferment period is that period of time for which the payment is or the payments are deferred. The deferral charge shall not exceed an amount equal to the result of applying the annual percentage rate, as defined by the federal Truth in Lending Act and Regulation Z, provided in the original agreement between the licensee and the borrower, to the amount deferred for the deferment period, calculated without regard to differences in the lengths of months, but proportionately for a part of a month, counting each day as one-thirtieth (1/30) of a month. A deferral charge is earned pro rata during the deferment period and is fully earned on the last day of the deferment period. If a loan is prepaid in full during a deferment period, then the licensee shall make or credit to the borrower a refund of the unearned deferral charge in addition to any other refund or credit made for prepayment in full. A deferral charge may be collected at the time it is assessed or at any time thereafter. Any payment received at the time of the deferment may be applied first to the deferral charge and the remainder, if any, to the unpaid balance of the loan, but if such payment is sufficient to pay, in addition to the appropriate delinquency charge, any installment which is in default, it shall be first so applied, and such installment shall not then be deferred or be subject to the deferral charge. No installment on which a delinquency charge has been collected shall be deferred or included in the computation of the deferral unless such delinquency charge is refunded to the borrower or credited to the deferral charge. In addition to the deferral charge, the licensee may make appropriate additional charges as provided in this chapter. The amount of such charges which are not paid in cash may be added to the amount deferred for the purpose of calculating the deferral. Any such deferral agreement shall be evidenced in writing, which shall include: The amount of the deferral charge; The amount or amounts deferred; The date to which, or the time period for which, payment is deferred; and The nature and amount of any other charges made at the time. No deferral charge may be made for a period after the date that the licensee elects to accelerate the maturity of the loan. No more than two (2) deferrals on which the charge authorized in this section is made, may be made, or agreed to be made, in any twelve-month period. Whenever the Commissioner of Banking and Consumer Finance deems it necessary to do so, he shall have the authority to promulgate reasonable rules and regulations to prevent abuse of the provisions of this section.

Miss. Code Ann. § 75-67-121 Recording and attorney’s fees; insurance premiums; licensee may offer borrower opportunity to purchase auto club membership under certain circumstances.

Any licensee under this article may charge any borrower on loans of One Hundred Dollars ($100.00) or more the actual cost of recording any instrument executed as security for a loan; any reasonable fee paid to an attorney for investigating the title to any property given as security for a loan; the actual cost of any premium paid for insurance upon any property given as security for a loan, such insurance to be placed with an insurance company agent of the borrower’s selection so long as it is licensed to do business in the State of Mississippi; the actual cost of any premium paid for credit life, health and/or accident insurance and/or involuntary unemployment insurance on any borrower where the amount of insurance required is not in excess of the amount of the loan; and the premium for the insurance is in keeping with that usually and customarily paid for like insurance. In addition, after the licensee has fully approved the loan to the borrower, the licensee may offer the borrower the opportunity to purchase an auto club membership. The licensee shall inform the borrower in writing that the purchase of an auto club membership is optional and is not required as a condition of receiving the loan, and that failure to purchase an auto club membership will not affect the licensee’s approval of the loan or the receipt of the loan by the borrower. The notification shall be initialed by the borrower. If the borrower chooses to purchase an auto club membership, the licensee shall allow the borrower to pay the cost of the auto club membership using funds other than the proceeds of a loan or have the cost deducted from the proceeds of any loan obtained from the licensee. The borrower shall be allowed to cancel the auto club membership for a full refund of the purchase price at any time within thirty (30) days after the date of purchase from the licensee if the borrower has not used any of the services provided through the auto club membership. The commissioner shall monitor the number of loans made by licensees with which the borrower chooses to purchase an auto club membership, and shall report that information to the Chairmen of the House Banking and Financial Services Committee and the Senate Business and Financial Institutions Committee by January 1, 2009. On loans of One Hundred Dollars ($100.00) or more, any licensee under this article may solicit and collect from any purchasing borrower the actual cost of any insurance premium paid for any one or more noncredit insurance policies, provided that such insurance is optional, is filed with the Department of Insurance, and is underwritten by an insurance company qualified to do business in Mississippi, and provided that the following conditions are met: The licensee shall not require the purchase of the noncredit insurance as a condition of receiving any loan or other extension of credit from the licensee; The licensee’s employees offering the noncredit insurance are: Properly licensed with the Department of Insurance as an insurance producer for the type of insurance being offered to the borrower by that employee; and Appointed with the insurance company providing the insurance policy to the purchasing borrower; The licensee shall not make the borrower’s ability to obtain any current or future loan or other extension of credit from the licensee contingent upon the borrower’s agreement to purchase the noncredit insurance or otherwise transact business with the licensee; and The licensee shall allow the borrower the option to pay the cost of the noncredit insurance policy using funds other than the proceeds of a loan obtained from the licensee, or to have the cost of the noncredit insurance paid from the proceeds of any loan obtained from the licensee. The limitations on the amount of insurance contained in subsection (1) of this section shall not apply to insurance sold under this subsection (3). Whenever he finds it necessary, the Commissioner of Banking and Consumer Finance shall have the power to adopt and enforce reasonable rules and regulations to prevent the abuse of this section and the making of excessive charges under this section.

Miss. Code Ann. § 75-67-122 Authorization for small loan licensees to charge and collect bad check charge.

Any licensee hereunder who receives a check, draft, negotiable order of withdrawal or like instrument drawn on a bank or other depository institution given by any person in full or partial repayment of a loan or other extension of credit may, if such instrument is not paid or is dishonored by such institution, charge and collect from the borrower or person to whom the credit was extended, a bad check charge in an amount not to exceed the sum of Fifteen Dollars ($15.00). This charge may be made only once with respect to the same instrument, and after the nonpayment or dishonor of the instrument, it shall be returned by the licensee to the borrower or person to whom credit was extended. This charge shall not be deemed to be interest, finance charge or other charge made as an incident to or as a condition to the grant of the loan or other extension of credit and shall not be included in determining the limit on charges which may be made in connection with the loan or extension of credit as provided in this chapter or in any other law of this state.

Miss. Code Ann. § 75-67-123 Certain charges excluded from maximum allowable finance charge.

Notwithstanding any other law to the contrary, for purposes of compliance with maximum charges permitted under Section 75-17-21 and Section 75-67-181, any charges, fees or premiums for voluntarily purchased credit insurance or auto club memberships shall not be included in the maximum finance charge allowed by state law.

Miss. Code Ann. § 75-67-125 Repealed.

Repealed by Laws, 1974, ch. 564, § 8, eff from and after July 1, 1974. [Codes, 1942, § 5591-13; Laws, 1958, ch. 170, § 13]

Miss. Code Ann. § 75-67-127 Requirements for making and payment of loans; confession of judgment; incomplete instruments; penalty.

Every licensee shall: At the time any loan is made, deliver to the borrower, or if there are two (2) or more borrowers to one (1) of them, a statement in the English language, disclosing (i) the date of the loan, (ii) the amount of the loan, (iii) the schedule of payments or a description thereof, (iv) the type of the security, which may be by mortgage or deed of trust upon real estate or personal property, or both, (v) the name and address of the licensed office and of each person primarily obligated on the note, and (vi) the total amount of finance charges expressed as a dollar amount and as an annual percentage rate. For each payment made on account of any such loan, give to the person making it at the time the payment is made a receipt specifying in plain, clear and simple terms the amount of the payment and the balance owing on the combined principal and finance charges after credit for each payment. When payment is made by check or money order, the licensee shall not be required to furnish a receipt. Compliance with the Federal Truth in Lending Act shall constitute compliance with this section. When loans made or handled by a licensee under the provisions of the Small Loan Privilege Tax Law are paid in full prior to maturity, after July 1, 1974, whether by cash, renewal or otherwise, refund to the borrower the finance charge exceeding one dollar ($1.00) calculated on the rule of the sum of the digits, commonly known as the “Rule of 78ths.” The refund shall be based and calculated on the number of days by which the loan is paid in advance, less twenty (20) days. Upon repayment of the loan in full, release any mortgage or security agreement and restore any pledge unless such mortgage, security agreement or pledge continues to secure an obligation to the licensee, and cancel and return any note and any assignment given to the licensee for the loan which is repaid. No licensee shall: Take any confession of judgment or any power of attorney running to himself or to any third person to confess judgment or to appear for the borrower in a judicial proceeding; nor take any note, promise to pay, or instrument of security that does not disclose the amount of the loan before the addition of precomputed charges, a schedule of payments or a description thereof, the agreed rate of charge, nor any instrument in which blanks are left to be filled in after the loan is made. Any contract of loan in the making or collection of which any provision of this section shall have been violated, either knowingly or without the exercise of due care to prevent the same, shall be void and the licensee shall have no right to collect or receive any principal, charges or recompense whatsoever.

Miss. Code Ann. § 75-67-129 Rules and regulations.

The commissioner shall have the power and authority to adopt, promulgate and issue such rules and regulations, not inconsistent with the provisions of this article or some other statute, as he shall deem necessary for the purpose of the administration of this article. A copy of every rule and regulation promulgated by the commissioner shall be filed in accordance with the Administrative Procedures Law, Section 25-43-1 et seq.

Miss. Code Ann. § 75-67-131 Injunction for violation of article.

Whenever the comptroller has reasonable cause to believe that any person is violating any of the provisions of this article, in addition to all other remedies provided hereby, the comptroller may, by, through and on the relation of the attorney general, district attorney or county attorney, apply to a court of competent jurisdiction for an injunction, both temporary and permanent, to restrain such person from engaging in or continuing such violation of the provisions of this article or from doing any act or acts in furtherance thereof.

Miss. Code Ann. § 75-67-133 Prior obligations not impaired.

Nothing herein contained shall be so construed so as to invalidate, impair or affect the obligation of any contract, agreement or loan between any lender or licensee and borrower which was lawfully entered into prior to July 1, 1958, or which shall be lawfully entered into prior to the expiration or cancellation of a license issued to the licensee under the provisions of the Small Loan Privilege Tax Law (Section 75-67-201 et seq.).

Miss. Code Ann. § 75-67-135 Exemptions.

This article shall not apply to any person, firm, partnership, corporation or association doing business under any of the laws of this state relating to banks, savings banks, trust companies, building and loan associations, insurance companies, pawnbrokers or credit unions; nor shall this article apply to any person, firm, partnership, corporation or association concerning loans made to the employees or farm tenants of such person, firm, partnership or corporation or association; nor to loans or advances made to be used in or in the furtherance of farming or agricultural operations; nor to loans insured or guaranteed by the United States or any of its agencies; nor to persons, firms, partnerships, associations or corporations making loans only secured by real estate; nor to dealers and sellers or purchasers of conditional sales or retained title contracts on real or personal property; nor an occasional lender not regularly engaged in the business of lending money, but such lender shall be governed by the usury statutes of this state.

Miss. Code Ann. § 75-67-137 Licensee; freedom from liability.

A licensee under this article shall have no liability for any act or practice done or omitted in conformity with (a) any rule or regulation of the commissioner, or (b) any rule, regulation, interpretation or approval of any other state or federal agency or any opinion of the Attorney General, notwithstanding that after such act or omission has occurred the rule, regulation, interpretation, approval or opinion is amended, rescinded, or determined by judicial or other authority to be invalid for any reason. A licensee under this article, acting in conformity with a written interpretation or approval by an official or employee of any state or federal agency or department, shall be presumed to have acted in accordance with applicable law, notwithstanding that after such act has occurred, the interpretation or approval is amended, rescinded, or determined by judicial or other authority to be incorrect or invalid for any reason.

Miss. Code Ann. § 75-67-139 Municipal and county ordinances void if overly restrictive.

Municipalities and counties in this state may enact ordinances that are in compliance with, but not more restrictive than, the provisions of this article. Any order, ordinance or regulation existing on April 28, 2004, of Sections 75-67-115, 75-67-215, 75-67-247 and this section, or any order, ordinance or regulation enacted after April 28, 2004, of Sections 75-67-115, 75-67-215, 75-67-247 and this section, that conflicts with any of the provisions of this article shall be void to the extent of the conflict.

Miss. Code Ann. § 75-67-175 Short title.

This article shall be known as the “Mississippi Consumer Alternative Installment Loan Act.”

Miss. Code Ann. § 75-67-177 License required; lender option to use rates under Section 75-17-21 or Section 75-67-181.

No person, partnership, association, limited liability company or corporation shall engage in the business of making consumer installment loans of money as provided by this article and charge, contract for, or receive on any such loan interest, discount, or consideration therefor without demonstrating to the satisfaction of the Commissioner of Banking and Consumer Finance that they are the holder of a valid and subsisting license under the Small Loan Privilege Tax Law, Section 75-67-201 et seq. This article shall not apply to persons engaged in the business of extending credit to borrowers primarily for business or commercial purposes. For any consumer installment loan that a licensee makes, the licensee has the option to either lend at the rates and fees indicated under the Small Loan Regulatory Law (Section 75-17-21), or at the rates and charges under Section 75-67-181. The provisions of this article shall be administered and enforced by the Commissioner of Banking and Consumer Finance, or his duly authorized agents, representatives and employees.

Miss. Code Ann. § 75-67-179 Definitions; computation of time for calculation of interest; loan payments; loans not to exceed percentage of consumer’s income.

For the purposes of this article and for loans made at the rates indicated in Section 75-67-181, the following terms shall have the meanings as defined in this subsection: “Applicable interest,” for a precomputed loan contract, means the amount of interest attributable to each monthly installment period. It is computed as if each installment period were one (1) month and any interest charged for extending the first installment period. The applicable interest for any monthly installment period is that portion of the precomputed interest that bears the same ratio to the total precomputed interest as the balances scheduled to be outstanding during that month bear to the sum of all scheduled monthly outstanding balances in the original contract. “Commissioner” means the Commissioner of the Mississippi Department of Banking and Consumer Finance. “Department” means the Mississippi Department of Banking and Consumer Finance. “Licensee” means any individual, partnership, association or corporation making loans under this article and duly licensed under the provisions of the Small Loan Privilege Tax Law, Section 75-67-201 et seq. “Person” means a natural person, sole proprietorship, corporation, company, limited liability company, partnership, association or any other legal entity however organized. “Precomputed loan” means a loan in which the debt is expressed as the sum of the original principal amount plus interest computed actuarially in advance, assuming all payments will be made when scheduled. To compute time for loans made in accordance with the interest indicated under Section 75-67-181, for the calculation of interest and other purposes, a month shall be a calendar month and a day shall be considered one-thirtieth (l/30th) of a month when calculation is made for a fraction of a month. A month shall be one-twelfth (l/12th) of a year. A calendar month is that period from a given date in one (1) month to the same numbered date in the following month, and if there is no same numbered date, to the last day of the following month. When a period of time includes a month and a fraction of a month, the fraction of the month is considered to follow the whole month. In the alternative, the licensee may charge interest at the rate of one three-hundred sixty-fifth (l/365th) of the agreed annual rate for each day actually elapsed. With respect to loans made under the interest indicated in Section 75-67-181: Loans shall be repayable in substantially equal and consecutive monthly installments of principal and interest combined, except that the first installment period may be longer than one (1) month by not more than fifteen (15) days, and the first installment payment amount may be larger than the remaining payments by the amount of interest charged for the extra days. Payments may be applied to the combined total of principal and precomputed interest until the loan is fully paid. When any loan contract is paid in full by cash, renewal or refinancing, or a new loan, one (1) month or more before the final installment due date, a licensee shall refund or credit the obligor the applicable interest for all fully unexpired installment periods, as originally scheduled or as deferred, that follow the day of prepayment, and a month shall be earned if the prepayment occurs one (1) or more days after the payment due date. However, if the prepayment occurs before the first installment due date, the licensee shall refund or credit the obligor the applicable interest on a pro rata basis from the date of the loan to the date of prepayment. “Applicable interest” for any installment period means that portion of the precomputed monthly installment interest attributable to the installment period calculated based on a method at least as favorable to the consumer as the actuarial method, as defined by the federal Truth in Lending Act. If the maturity of the loan is accelerated for any reason and judgment is entered, the licensee shall credit the borrower with the same refund as if prepayment in full had been made on the date the lawsuit is filed. If two (2) or more installments are delinquent one (1) full month or more on any due date, and if the contract so provides, the licensee may reduce the unpaid balance by the refund credit that would be required for prepayment in full on the due date of the most recent maturing installment in default. Thereafter, and in lieu of any other default or deferment charges, the agreed rate of interest or interest at the rate of eighteen percent (18%) per annum may be charged on the unpaid balance until fully paid. Fifteen (15) days after the final installment as originally scheduled or deferred, the licensee may compute and charge interest on any balance remaining unpaid, including unpaid default or deferment charges, at a default rate of interest as agreed in the contract or at the rate of eighteen percent (18%) per annum, until fully paid. A late payment charge that complies with Section 75-17-27 shall not be considered a finance charge, if contracted for in writing. No licensee or other person may condition an extension of credit to a consumer borrower on the consumer’s repayment by preauthorized electronic fund transfers or post-dated check. Consumers may choose any method of payment offered by the licensee, including, but not limited to, electronic fund transfers or debit card payments. The loan shall be fully amortizing and be repayable in its entirety in a minimum of nine (9) substantially equal and consecutive monthly payments with a period of not less than two hundred seventy-two (272) days to maturity. Each loan agreement entered into between a licensee and a consumer borrower shall include the following language: “This business is licensed and regulated by the Department of Banking and Consumer Finance. If you have any unresolved problem with a transaction at this location, you are entitled to assistance. Please call or write the Mississippi Department of Banking and Consumer Finance.” A licensee is prohibited from making a loan to a consumer borrower if the payments to be made in any month on the loan exceed twenty-two and five-tenths percent (22.5%) of the consumer’s gross monthly income, as demonstrated by documentation of the income, including, but not limited to, the consumer’s most recent pay stub, receipt reflecting payment of government benefits, or other official documentation. “Official documentation” includes tax returns and documentation prepared by the source of the income. Notwithstanding anything contained in this section to the contrary, a licensee may rely upon the borrower’s written statement or other written information provided by the borrower in those cases where the borrower is self-employed or employed in seasonal work. At the time a loan is made or within twenty (20) days after a loan is made, a licensee shall not (i) accept a check and agree to hold it for a period of days before deposit or presentment, or (ii) accept a check dated later than the date written.

Miss. Code Ann. § 75-67-181 Finance charge in lieu of interest on certain loans.

In lieu of the interest and charges in Section 75-17-21, on loans of Four Thousand Dollars ($4,000.00) or less, a licensee may contract and charge a monthly finance charge not to exceed an annual percentage rate, calculated according to the actuarial method, of fifty-nine percent (59%) per annum on the unpaid balance of the amount financed.

Miss. Code Ann. § 75-67-183 Rules and regulations; injunction for violation of article.

The commissioner shall have the power and authority to adopt, promulgate and issue any rules and regulations, not inconsistent with law, necessary for the enforcement of this article. The commissioner may investigate any business conducted in the licensed office to determine whether any evasion or violation of this article has occurred. Licensees shall comply with, and all loans made under this article shall be in conformity with, all applicable provisions of the Small Loan Regulatory Law (Section 75-67-101 et seq.), and the Small Loan Privilege Tax Law (Section 75-67-201 et seq.), as determined by the commissioner. When the commissioner has reasonable cause to believe that a person is violating any provision of this article, or any regulation of the commissioner made under the authority of this article or any other applicable statute of this state, the commissioner, in addition to and without prejudice to the authority provided elsewhere in this article, may enter an order requiring the person to stop and refrain from the violation. The commissioner may sue in any court of the state having jurisdiction and venue to enjoin the person from engaging in or continuing the violation or from doing any act in furtherance of the violation. In such an action, the court may enter an order or judgment awarding a preliminary or permanent injunction.

Miss. Code Ann. § 75-67-185 Licensee; freedom from liability.

A licensee shall have no liability for any act or practice done or omitted in conformity with (a) any rule or regulation of the commissioner, or (b) any rule, regulation, interpretation or approval of any other state or federal agency or any opinion of the Attorney General, notwithstanding that after the act or omission has occurred the rule, regulation, interpretation, approval or opinion is amended, rescinded, or determined by judicial or other authority to be invalid for any reason. A licensee, acting in conformity with a written interpretation or approval by an official or employee of any state or federal agency or department, shall be presumed to have acted in accordance with applicable law, notwithstanding that after that act has occurred, the interpretation or approval is amended, rescinded, or determined by judicial or other authority to be incorrect or invalid for any reason.

Miss. Code Ann. § 75-67-201 Title of article.

This article shall be known as and referred to as “The Small Loan Privilege Tax Law” of this state.

Miss. Code Ann. § 75-67-203 Definitions.

The following words and phrases, when used in this article, shall, for the purposes of this article have the meanings respectively ascribed to them in this section, except where the context clearly describes and indicates a different meaning: The word “person” shall mean and include every natural person, firm, corporation, copartnership, joint stock or other association or organization, and any other legal entity whatsoever; The term “licensee” shall mean and include every person, except those specifically exempt by the provisions of this article, who, in addition to any other right and powers he or it might otherwise possess, shall engage in the business of lending money, either directly or indirectly, to be paid back in monthly installments, or other regular installments for periods of more or less than one (1) month, and whether or not the lender requires security from the borrower as indemnity for the repayment of the loan; The word “commissioner” shall mean the Commissioner of Banking and Consumer Finance of the State of Mississippi; The word “department” shall mean the Department of Banking and Consumer Finance of the State of Mississippi; “Records” or “documents” means any item in hard copy or produced in a format of storage commonly described as electronic, imaged, magnetic, microphotographic or otherwise, and any reproduction so made shall have the same force and effect as the original thereof and be admitted in evidence equally with the original.

Miss. Code Ann. § 75-67-205 License required.

No person shall engage in the business of lending money except as authorized by this article and by the Small Loan Regulatory Law (Section 75-67-101 et seq.), and without being the holder of a valid and subsisting license to engage in such business as provided herein, furnishing the requisite bond as required hereby, and paying the privilege license tax imposed hereby. Every person engaged in the business of lending money as authorized by this article shall have a physical office located in the State of Mississippi. A separate license is required for each office doing business in the State of Mississippi. Any person who shall violate the provisions of this section shall be guilty of a misdemeanor and, upon conviction, shall be punished by a fine of not more than One Thousand Dollars ($1,000.00) or by imprisonment in the county jail for not more than six (6) months, or by both such fine and imprisonment in the discretion of the court.

Miss. Code Ann. § 75-67-207 Responsibilities for administration of Article 5.

The provisions of this article shall be enforced and administered by the state comptroller of banks and his duly authorized agents, representatives and employees.

Miss. Code Ann. § 75-67-209 Application for license or renewal license.

If any person shall desire to engage in the business of lending money in the State of Mississippi, as defined herein, such person shall make a written request to the commissioner for the necessary license application form. The commissioner shall mail or deliver the license application form to the person making the request within ten (10) days after receipt of the request by the commissioner. Such person shall make application in writing to the commissioner for a license therefor prior to engaging in such business, which license application shall be made on the forms prepared and provided by the commissioner and which shall give, in addition to such other information as the commissioner may require, the following: The full name and address of the applicant; The municipality, county and street address where the business is to be operated; Whether or not the applicant is an individual, partnership or corporation; In the case of an individual, both the business and residence address of the applicant; In the case of a partnership, the names and business and residence addresses of all partners; and In the case of a corporation, the domicile thereof and the names and business and residence addresses of each officer and director thereof. All such applications shall be sworn to by the applicant, or a member of the firm in the case of a partnership, or a duly authorized officer in the case of a corporation, and there shall be presented and filed therewith an affidavit, executed before a notary public or other officer authorized to administer oaths, to the effect that the applicant will conduct his or its business in conformity to and will abide by the provisions of this article, all regulations promulgated hereunder and all other applicable statutes of the State of Mississippi. For a renewal license, the licensee shall furnish on forms provided by the commissioner information that the business is to be continued for one (1) year; such continuation form shall be signed by the applicant, a member of the firm in the case of a partnership, or a duly authorized officer in the case of a corporation, and shall give such information as the commissioner shall require.

Miss. Code Ann. § 75-67-211 Bond required.

There shall be presented and filed with such application a good and sufficient bond in the principal amount of one thousand dollars ($1,000.00) written by some surety company authorized to do business in the State of Mississippi, which shall be subject to the approval of the comptroller. Said bond shall be payable to the State of Mississippi and shall be conditioned that the applicant will well and truly operate its business in conformity to and will abide by the laws of this state regulating the handling of loans or lending money, and all regulations promulgated by the department, and all other applicable statutes of the State of Mississippi, and will pay and discharge any and all indebtedness for which such applicant may become liable under the provisions of this article and any other applicable statutes of the State of Mississippi, to the State of Mississippi, or to any county, municipality or other political subdivision thereof, or any person, firm, or corporation whatsoever. Suits may be brought on said bond and against the surety thereon by any person having a right of action against same in the name of the State of Mississippi for the use and benefit of the person having such right of action.

Miss. Code Ann. § 75-67-213 Annual license fee.

With each initial application for a license under the provisions of this article, the applicant shall pay to the commissioner at the time of making such application a license fee of Seven Hundred Fifty Dollars ($750.00), and for renewal applications, an annual renewal fee of Four Hundred Seventy-five Dollars ($475.00). The licenses issued under the provisions hereof shall be valid for a period of one (1) year from the date of the issuance thereof. Such fee is in addition to any other privilege tax or fee required by law. Within thirty (30) days prior to the expiration of any valid and subsisting license issued hereunder, the holder thereof, if he desires to continue to engage in business in the State of Mississippi, shall file application for a new license in the same manner and under the same conditions herein provided.

Miss. Code Ann. § 75-67-215 Penalties.

If any person engages in business as provided for in this article without paying the license fee provided for in this article before commencing business or before the expiration of the person’s current license, as the case may be, then the person shall be liable for the full amount of the license fee plus a penalty in an amount not to exceed Twenty-five Dollars ($25.00) for each day that the person has engaged in the business without a license or after the expiration of a license. The commissioner may, after notice and hearing as defined in Section 75-67-237 in cases of revocation of license, impose a civil penalty against any licensee if the licensee is adjudged by the commissioner to be in willful violation of the provisions of this article. The civil penalty shall not exceed Five Hundred Dollars ($500.00) per violation and shall be deposited into the Consumer Finance Fund of the Department of Banking and Consumer Finance. Any licensee who has been imposed a civil penalty by the commissioner may, within twenty (20) days after the fine is imposed, appeal to the circuit court of the county where the business is being conducted, as in cases from an order of a lesser tribunal. The trial on appeal shall be de novo. When the commissioner has reasonable cause to believe that a person is violating any provision of this article, the commissioner, in addition to and without prejudice to the authority provided elsewhere in this article, may enter an order requiring the person to stop or to refrain from the violation. The commissioner may sue in any circuit court of the state having jurisdiction and venue to enjoin the person from engaging in or continuing the violation or from doing any act in furtherance of the violation. In such an action, the court may enter an order or judgment awarding a preliminary or permanent injunction.

Miss. Code Ann. § 75-67-217 Procedure when application is filed; issuance or denial of license generally; prohibition against issuance of licenses to banks, trust companies, etc.

When any application is filed for a license under the provisions of this article and the requisite fee is paid and the necessary bond furnished, the commissioner shall make an investigation for the purpose of determining whether or not the financial responsibility, previous experience, character and general fitness of the applicant (including the members thereof if the applicant is a firm, partnership or association, and the officers and directors thereof, if the applicant is a corporation) are such as to merit the respect and confidence of the community in which the business is to be operated and to warrant the belief that the business will be operated honestly, fairly, efficiently and in compliance with the provisions of the applicable laws of this state, and the regulations promulgated by the department. For applications both for original licenses and for renewal licenses, the commissioner shall make a determination either to approve or to disapprove the issuance of the license, and his determination shall be conveyed in writing to the applicant within sixty (60) days after the date the application is received by the commissioner. If such determination shall be in the affirmative, then the commissioner shall thereupon issue to the applicant a license, in such form as the commissioner may deem proper, for the operation of such business at the location stated in the application, which license shall be valid for a period of one (1) year. If the application is denied, the commissioner shall give written notice of the denial to the applicant, together with the reason or reasons for the denial. If the commissioner does not issue the license or give written disapproval of the issuance of the license within the required sixty-day period, the license shall be deemed approved and issued effective the next calendar day. In all cases where the proper application for a renewal license shall be filed, it shall be lawful for the applicant to operate his business while the application is pending before the commissioner and until the license has been issued or the application has been rejected, as provided in this section. No license under the Small Loan Privilege Tax Law shall be granted to a bank, savings bank, trust company, savings and loan association, building and loan association insurance company, credit union or pawnbroker.

Miss. Code Ann. § 75-67-219 Return of bond and fees upon denial of application for license.

When any application for a license is denied, the commissioner shall return to the applicant the bond furnished by him and shall also return to the applicant one-half (1/2) of the license fee paid by him, the remaining one-half (1/2) thereof to be retained by the commissioner, to be disposed of as are all other collections made by the commissioner under the provisions of the Small Loan Regulatory Law (Section 75-67-101 et seq.) of this state.

Miss. Code Ann. § 75-67-221 Hearing when license denied.

When any application for a license is denied, the applicant shall have the right to a hearing thereon by and before the comptroller by filing, within thirty (30) days after the date of the receipt of the notification of denial, a written petition with the comptroller requesting such hearing. Upon the filing of any such request, the comptroller shall fix a date for the hearing, which date shall not be later than thirty (30) days from the date of the filing of the request, and notice shall be given to the public of the fact that such hearing will be held by the publication of a notice in some newspaper published in the county where the business is proposed to be conducted not less than ten (10) days before the date of the hearing, which notice shall specify the date, time, place and purpose of the hearing.

Miss. Code Ann. § 75-67-223 Procedure at the hearing.

All such hearings shall be held and conducted in the office of the comptroller, and the applicant and any and all other interested persons may appear and present such evidence as shall be relevant and material and the comptroller may cause the production and presentation of such evidence as he may deem relevant and material. At all such hearings, the applicant shall have the right to be represented by counsel and to examine and cross-examine any and all witnesses that may testify at such hearing. For the purpose of compelling the attendance of witnesses at such hearing, the comptroller shall have the power to issue subpoenas therefor in the same manner as subpoenas are issued in circuit courts. All witnesses who shall testify at any such hearing shall be sworn in the same manner as witnesses are sworn in the circuit courts and shall be subject to penalties for perjury as is otherwise provided under the laws of this state.

Miss. Code Ann. § 75-67-225 Review of adverse decision.

At all such hearings the comptroller shall cause the evidence presented to be taken down and a record made thereof and he shall make a written finding and decision with reference to the question presented and shall cause same to be included in the record. The original of said record shall be kept as a permanent record by the comptroller and a copy thereof shall be furnished to the applicant. If the application for the license shall be denied by the comptroller as a result of such hearing, the applicant may, within ten (10) days from the date of denial, obtain a review of such denial by a writ of certiorari to the circuit court of the county where said business is proposed to be conducted, as by law in such cases made and provided. The review by said court shall be on the record made before the comptroller and copies of all applications, bonds and other papers and documents of every kind filed with the comptroller in connection with the application, and said hearing shall be included in said record along with the transcript of the evidence.

Miss. Code Ann. § 75-67-227 Forms of license.

The license shall be in such form as the commissioner may prescribe and, in addition to such other information as the commissioner may deem proper, it shall set forth the name and address of the licensee, and such license shall be kept conspicuously posted in the licensee’s place of business. Such licenses shall not be transferable or assignable.

Miss. Code Ann. § 75-67-229 Additional licenses and changes of location.

Not more than one (1) place of business shall be operated or maintained under the same license, but the commissioner may issue separate licenses to the same licensee for different and separate places of business upon compliance with all of the provisions of this article governing the issuance of licenses with respect to each separate license. If any licensee shall desire to change his place of business within the same municipality during the period for which the license is valid, he shall make written application therefor to the commissioner who shall issue a new license for the unexpired portion of the year showing the new location of the business. However, nothing herein shall authorize or permit a change in the place of business of a licensee to a location outside of the original municipality.

Miss. Code Ann. § 75-67-231 Preservation of records.

All applications, bonds, records and other papers and documents filed with the commissioner in connection with applications for an issuance of all licenses shall be preserved by the commissioner as a permanent record in his office, and shall be available to the public in accordance with the Mississippi Public Records Act (Section 25-61-1 et seq., Mississippi Code of 1972); however, all files on licensees, as defined in Section 75-67-103, Mississippi Code of 1972, who have ceased business under the Small Loan Regulatory Law (Section 75-67-101 et seq.), Mississippi Code of 1972) and the Small Loan Privilege Tax Law (Section 75-67-201 et seq.), Mississippi Code of 1972) shall be maintained in accordance with retention periods established by the State Records Committee.

Miss. Code Ann. § 75-67-233 Additional bonds; when required.

If the comptroller shall find, at any time, that any bond filed with him by a licensee under the provisions of this article is insecure for any reason, or if same has been exhausted, the comptroller shall require an additional bond in the amount of one thousand dollars ($1,000.00) conditioned as provided by this article. If, after ten (10) days’ written notice by the comptroller, any licensee shall fail, neglect or refuse to furnish such additional bond, the license held by such persons shall be forthwith cancelled by the comptroller. Notice of all suits filed against licensee and the surety on his bond shall be given the comptroller at the time of the institution thereof, and notice of the result or outcome of all such suits shall be given the comptroller within ten (10) days after the termination thereof.

Miss. Code Ann. § 75-67-235 Discontinuance of business and surrender of license.

Any person holding a license under the provisions of this article may discontinue his business by giving the comptroller written notice thereof and surrendering his license to the comptroller, but such action shall in nowise relieve the licensee or the surety on his bond from any liability which may have accrued or existed at the time of the surrender of such license nor shall impair or affect the obligation of any lawful pre-existing contract between the licensee and any other person, firm or corporation.

Miss. Code Ann. § 75-67-237 Revocation of license; procedure and review by court.

The commissioner may, if he be of the opinion that reasonable grounds exist to believe that a licensee has willfully violated any of the provisions of this article, or the Small Loan Regulatory Law (Section 75-67-101 et seq.), or any regulation of the commissioner made under the authority of either, or any other applicable statute of this state, upon written notice to the licensee distinctly specifying the charges against him, cite the licensee to appear before him to show cause why his license should not be revoked. Such notice shall fix the date, time and place of the hearing, which hearing shall not be held less than ten (10) days from the date of such notice. At such hearing the licensee shall have the right to be heard either in person or by counsel, to produce witnesses in his behalf, and to examine and cross-examine all witnesses who may testify. If, after the hearing, the commissioner finds that the licensee has been guilty of willfully violating any provision of this article, or the Small Loan Regulatory Law (Section 75-67-101 et seq.), or any regulations made by the commissioner under the authority of either, or any other applicable statute of the State of Mississippi, the commissioner shall forthwith revoke the license involved; otherwise, the proceedings shall be dismissed. At all such hearings, the commissioner shall cause the evidence to be taken down and a record made thereof and he shall make a written finding and decision and shall cause same to be included in the record. The original of the record shall be retained by the commissioner and a copy thereof shall be furnished to the licensee. Any licensee whose license is revoked by the commissioner may, within twenty (20) days after such revocation, appeal to the circuit court of the county where the business is being conducted, as in cases of appeal from an order of a lesser tribunal. The trial on appeal shall be de novo. Any licensee who is exempt from liability for an act or omission under Section 75-67-245 shall not have his license revoked under this section for the same act or omission.

Miss. Code Ann. § 75-67-239 Disposition of funds collected under Article 5.

All fees, license tax and penalties provided for in this article which are payable to the commissioner shall, when collected, be deposited in a special and separate fund to be known as the “Consumer Finance Fund” and shall be expended by the commissioner solely and exclusively for the purpose of administering and enforcing the provisions of this article and the Small Loan Regulatory Law (Section 75-67-101 et seq.).

Miss. Code Ann. § 75-67-241 Exemptions.

This article shall not apply to any person, firm, partnership, corporation or association doing business under any of the laws of this state relating to banks, savings banks, trust companies, building and loan associations, insurance companies, credit unions or pawnbrokers; nor shall this article apply to any person, firm, partnership, corporation or association concerning loans made to the employees or farm tenants of such person, firm, partnership or corporation or association; nor to loans or advances made to be used in or in the furtherance of farming or agricultural operations; nor to loans insured or guaranteed by the United States or any of its agencies; nor to persons, firms, partnerships, associations or corporations making loans only secured by real estate; nor to dealers and sellers or purchasers of conditional sales or retained title contracts on real or personal property; nor a member of an affiliated group as defined by Section 1504 of the Internal Revenue Code of 1986, as amended, on May 24, 1995, with respect to loans made by one (1) member of the affiliated group to another and who is not otherwise engaged in the business of loaning money secured by tangible personal property; nor an occasional lender not regularly engaged in the business of lending money, but such lender shall be governed by the usury statutes of this state.

Miss. Code Ann. § 75-67-243 Rules and regulations.

The commissioner shall have the power and authority to adopt, promulgate and issue such rules and regulations, not inconsistent with this article, or any other statute of the State of Mississippi, as he shall deem necessary for the purpose of the administration of this article. A copy of every rule and regulation promulgated by the commissioner shall be filed in accordance with the Administrative Procedures Law, Section 25-43-1 et seq.

Miss. Code Ann. § 75-67-244 Commissioner authorized to examine persons suspected of conducting business requiring a license.

The commissioner, or his duly authorized representative, for the purpose of discovering violations of this article and for the purpose of determining whether persons are subject to the provisions of this article, may examine persons licensed under this article and persons reasonably suspected by the commissioner of conducting business that requires a license under this article, including all relevant books, records and papers employed by those persons in the transaction of their business, and may summon witnesses and examine them under oath concerning matters relating to the business of those persons, or such other matters as may be relevant to the discovery of violations of this article, including without limitation the conduct of business without a license as required under this article.

Miss. Code Ann. § 75-67-245 Licensee; freedom from liability.

Miss. Code Ann. § 75-67-247 Municipal and county ordinances void if overly restrictive.

Municipalities and counties in this state may enact ordinances that are in compliance with, but not more restrictive than, the provisions of this article. Any order, ordinance or regulation existing on April 28, 2004 of Sections 75-67-115, 75-67-215, 75-67-247 and this section, or any order, ordinance or regulation enacted after April 28, 2004, of Sections 75-67-115, 75-67-215, 75-67-247 and this section that conflicts with any of the provisions of this article shall be void to the extent of the conflict.

Miss. Code Ann. § 75-67-301 Short title.

This article shall be known and may be cited as the “Mississippi Pawnshop Act.”

Miss. Code Ann. § 75-67-303 Definitions.

The following words and phrases used in this article shall have the following meanings unless the context clearly indicates otherwise: “Pawnbroker” means any person engaged in whole or in part in the business of lending money on the security of pledged goods left in pawn, or in the business of purchasing tangible personal property to be left in pawn on the condition that it may be redeemed or repurchased by the seller for a fixed price within a fixed period of time; provided, however, that the following are exempt from the definition of “pawnbroker” and from the provisions of this article: any bank which is regulated by the State Department of Banking and Consumer Finance, the Comptroller of the Currency of the United States, the Federal Deposit Insurance Corporation, the Board of Governors of the Federal Reserve System or any other federal or state authority and all affiliates of such bank, and additionally any bank or savings and loan association whose deposits or accounts are eligible for insurance by the Bank Insurance Fund or the Savings Association Insurance Fund or other fund administered by Federal Deposit Insurance Corporation or any successor thereto, and all affiliates of such banks and savings and loan associations, any state or federally chartered credit union and any finance company subject to licensing and regulation by the State Department of Banking and Consumer Finance. “Pawnshop” means the location at which or premises in which a pawnbroker regularly conducts business. “Pawn transaction” means any loan on the security of pledged goods or any purchase of pledged goods on the condition that the pledged goods are left with the pawnbroker and may be redeemed or repurchased by the seller for a fixed price within a fixed period of time. A “pawn transaction” does not include the pledge to or the purchase by a pawnbroker of real or personal property from a customer followed by the sale of the leasing of that same property back to the customer in the same or a related transaction and such is not permitted by this article. “Person” means an individual, partnership, corporation, joint venture, trust, association, or any legal entity however organized. “Pledged goods” means tangible personal property other than choses in action, securities, or printed evidence of indebtedness, which property is purchased by, deposited with, or otherwise actually delivered into the possession of a pawnbroker in connection with a pawn transaction. “Commissioner” means the Mississippi Commissioner of Banking and Consumer Finance, or his designee, as the designated official for the purpose of enforcing this article. “Appropriate law enforcement agency” means the sheriff of each county in which the pawnbroker maintains an office, or the police chief of the municipality or law enforcement officers of the Department of Public Safety in which the pawnbroker maintains an office. “Attorney General” means the Attorney General of the State of Mississippi. “Records” or “documents” means any item in hard copy or produced in a format of storage commonly described as electronic, imaged, magnetic, microphotographic or otherwise, and any reproduction so made shall have the same force and effect as the original thereof and be admitted in evidence equally with the original.

Miss. Code Ann. § 75-67-305 Information required to be recorded on pawn ticket; detailed recording of transactions required.

At the time of making the pawn or purchase transaction, the pawnbroker shall enter upon the pawn ticket a record of the following information which shall be typed or written in ink and in the English language: A clear and accurate description of the property, including the following: Brand name; Model number; Serial number; Size; Color, as apparent to the untrained eye; Precious metal type, weight and content, if known; Gemstone description, including the number of stones; In the case of firearms, the type of action, caliber or gauge, number of barrels, barrel length and finish; and Any other unique identifying marks, numbers, names or letters; The name, residence address and date of birth of pledgor or seller; Date of pawn or purchase transaction; Driver’s license number or social security number or Mississippi identification card number, as defined in Section 45-35-1, Mississippi Code of 1972, of the pledgor or seller or identification information verified by at least two (2) forms of identification, one (1) of which shall be a photographic identification; Description of the pledgor including approximate height, sex and race; Amount of cash advanced; The maturity date of the pawn transaction and the amount due; and The monthly rate and pawn charge. Such rates and charges shall be disclosed using the requirements prescribed in Regulation Z (Truth in Lending) of the rules and regulations of the Board of Governors of the Federal Reserve. Each pawn or purchase transaction document shall be consecutively numbered and entered in a corresponding log or record book. Separate logs or record books for pawn and purchase transactions shall be kept. Records may be in the form of traditional hard copies, computer printouts or magnetic media if readily accessible for viewing on a screen with the capability of being promptly printed upon request. Every licensee shall maintain a record which indicates the total number of accounts and the total dollar value of all pawn transactions outstanding as of December 31 of each year.

Miss. Code Ann. § 75-67-307 Information required to be pre-printed on pawn ticket.

The following shall be printed on all pawn tickets: The statement that “Any personal property pledged to a pawnbroker within this state is subject to sale or disposal when there has been no payment made on the account for a period of thirty (30) days past maturity date of the original contract; no further notice is necessary”; The statement that “The pledgor of this item attests that it is not stolen, it has no liens or encumbrances against it, and the pledgor has the right to sell or pawn the item”; The statement that “The item is redeemable only by the bearer of this ticket or by identification of the person making the pawn”; and A blank line for the pledgor’s signature.

Miss. Code Ann. § 75-67-309 Statement pledgor or seller is rightful owner; pawnbroker to maintain record of transactions to law enforcement agencies; electronic reporting of transactions to law enforcement agencies; time limit for resale.

The pledgor or seller shall sign a statement verifying that the pledgor or seller is the rightful owner of the goods or is entitled to sell or pledge the goods and shall receive an exact copy of the pawn ticket which shall be signed or initialed by the pawnbroker or any employee of the pawnbroker. The pawnbroker shall maintain a record of all transactions of pledged or purchased goods on the premises. A pawnbroker shall upon request provide to the appropriate law enforcement agency a complete record of all transactions. These records shall be a correct copy of the entries made of the pawn or purchase transaction, except as to the amount of cash advanced or paid for the goods and monthly pawnshop charge. If the law enforcement agency supplies the appropriate computer software and the pawnbroker has the appropriate computer hardware, all transactions shall be made available by means of electronic transmission through a modem or similar device or by providing a computer disc to the law enforcement agency within seventy-two (72) hours of the transaction. Any pawnbroker who is recording transactions through the use of computer hardware on March 24, 2001, and is provided such appropriate software shall not cease or alter the use of his computer hardware unless authorized by the law enforcement agency. All goods purchased across the counter by the pawnbroker shall be maintained on the premises by the pawnbroker for at least fourteen (14) calendar days if the pawnbroker makes available all transactions either electronically or on computer disc to the appropriate law enforcement agency as provided in subsection (2) above. Otherwise, the pawnbroker shall maintain on the premises the purchased goods for twenty-one (21) calendar days.

Miss. Code Ann. § 75-67-311 Redemption of pledged goods; failure to redeem.

A pledgor shall have no obligation to redeem pledged goods or make any payment on a pawn transaction. Pledged goods not redeemed within thirty (30) days following the originally fixed maturity date shall automatically be forfeited to the pawnbroker by operation of this section, and absolute right, title and interest in and to such goods shall automatically vest to the pawnbroker.

Miss. Code Ann. § 75-67-313 Pawnshop charge; limit on interest, charges and fees.

A pawnbroker may contract for and receive a pawnshop charge in lieu of interest or other charges for all services, expenses, cost and losses of every nature not to exceed twenty-five percent (25%) of the principal amount, per month, advanced in the pawn transaction. Any interest, charge, or fees contracted for or received, directly or indirectly, in excess of the amount permitted under subsection (1) of this section shall be uncollectible and the pawn transaction shall void. The pawnshop charge allowed under subsection (1) of this section shall be deemed earned, due and owing as of the date of the pawn transaction and a like sum shall be deemed earned, due and owing on the same day of the succeeding month.

Miss. Code Ann. § 75-67-315 Prohibited acts of pawnbrokers, and clerks, agents or employees of pawnbroker.

A pawnbroker and any clerk, agent or employee of such pawnbroker shall not: Fail to make an entry of any material matter in his record book; Make any false entry therein; Falsify, obliterate, destroy or remove from his place of business such records, books or accounts relating to the licensee’s pawn transaction; Refuse to allow the commissioner, the appropriate law enforcement agency, the Attorney General or any other duly authorized state or federal law enforcement officer to inspect his pawn records or any pawn goods in his possession during the ordinary hours of business or other acceptable time to both parties; Fail to maintain a record of each pawn transaction for four (4) years; Accept a pledge or purchase property from a person under the age of eighteen (18) years; Make any agreement requiring the personal liability of a pledgor or seller, or waiving any of the provisions of this article or providing for a maturity date less than thirty (30) days after the date of the pawn transaction; Fail to return or replace pledged goods to a pledgor or seller upon payment of the full amount due the pawnbroker unless the pledged goods have been taken into custody by a court or a law enforcement officer or agency; Sell or lease, or agree to sell or lease, pledged or purchased goods back to the pledgor or back to the seller in the same or related transaction; Sell or otherwise charge for insurance in connection with a pawn transaction; Remove pledged goods from the premises within thirty (30) days following the originally fixed maturity date; Accept a pledge or purchase property when such property has manufacturer’s serial numbers which have been obviously removed and/or obliterated.

Miss. Code Ann. § 75-67-317 Redemption or repurchase of pledged goods; liability of pawnbroker for lost or damaged pledged goods; lost, destroyed or stolen pawn ticket.

Any person properly identifying himself as pledgor or as authorized representative of the pledgor and presenting a pawn ticket to the pawnbroker shall be entitled to redeem or repurchase the pledged goods described in such ticket. In the event such pledged goods are lost or damaged while in the possession of the pawnbroker, it shall be the responsibility of the pawnbroker to replace the lost or damaged goods with like kinds of merchandise and proof of replacement shall be defense to any prosecution. For the purpose of this subsection, “lost” includes destroyed or having disappeared because of any willful neglect that results in the pledged goods being unavailable for return to the pledgor. If the pawn ticket is lost, destroyed or stolen, the pledgor shall so notify the pawnbroker in writing, and receipt of such notice shall invalidate such pawn ticket, if the pledged goods have not been previously redeemed. Before delivering the pledged goods or issuing a new pawn ticket, the pawnbroker shall require the pledgor to make a written statement of the loss, destruction or theft of the ticket. The pawnbroker shall record on the written statement the identifying information required by Section 75-67-305, the date the statement is given and the number of the pawn ticket lost, destroyed or stolen. This statement shall be signed by the pawnbroker or pawnshop employee who accepts the statement from the pledgor. A pawnbroker is entitled to a fee not to exceed Five Dollars ($5.00) in connection with each lost, destroyed or stolen pawn ticket and the taking of a properly prepared written statement for the pawn ticket.

Miss. Code Ann. § 75-67-319 Lien by pawnbroker; waiting period.

A pawnbroker shall have a lien on the pledged goods pawned for the money advanced and the pawnshop charge owed, but not for other debts due to him. He shall retain possession of the pledged goods, except as otherwise herein provided, until his lien is satisfied. Pledged goods not redeemed on or before the maturity date, if fixed and set out in the pawn ticket issued in connection with any transaction, shall be held by the pawnbroker for thirty (30) days following such date and may be redeemed or repurchased by the pledgor or seller within such period by the payment of the originally agreed redemption price, and the payment of an additional pawnshop charge equal to the original pawnshop charge.

Miss. Code Ann. § 75-67-321 License required to engage in business as pawnbroker; license fee; penalty for late payment of fee.

A person may not engage in business as a pawnbroker or otherwise portray himself as a pawnbroker unless the person has a valid license authorizing engagement in the business. A separate license is required for each place of business under this article. The commissioner may issue more than one (1) license to a person if that person complies with this article for each license. A new license or application to transfer an existing license is required upon a change, directly or beneficially, in the ownership of any licensed pawnshop and an application shall be made to the commissioner in accordance with this article. When a licensee wishes to move a pawnshop to another location, the licensee shall give thirty (30) days’ prior written notice to the commissioner who shall amend the license accordingly. Each license shall remain in full force and effect until relinquished, suspended, revoked or expired. With each initial application for a license, the applicant shall pay the commissioner a license fee, which includes premiums for examinations, of Five Hundred Dollars ($500.00), and on or before December 1 of each year thereafter, an annual renewal fee, which includes premiums for examinations, of Three Hundred Fifty Dollars ($350.00). However, when more than one (1) license to an applicant is issued, the commissioner, for each subsequent license, may only impose a fee, which includes premiums for examinations, of Three Hundred Fifty Dollars ($350.00) at the time of application, and an annual renewal fee, which includes premiums for examinations, of Three Hundred Fifty Dollars ($350.00) on or before December 1 of each year thereafter. If the annual fee remains unpaid thirty (30) days after December 1, the license shall thereupon expire, but not before December 31 of any year for which the annual fee has been paid. If any person engages in business as provided for in this article without paying the license fee provided for in this article commencing business or before the expiration of the person’s current license, as the case may be, then the person shall be liable for the full amount of the license fee, plus a penalty in an amount not to exceed Twenty-five Dollars ($25.00) for each day that the person has engaged in such business without a license or after the expiration of a license. All licensing fees and penalties authorized in this section shall be paid into the Consumer Finance Fund of the Department of Banking and Consumer Finance. Notwithstanding other provisions of this article, the commissioner may issue a temporary license authorizing the operator of a pawnshop on the receipt of an application to transfer a license from one person to another or on the receipt of an application for a license involving principals and owners that are substantially identical to those of an existing licensed pawnshop. The temporary license is effective until the permanent license is issued or denied. Notwithstanding other provisions of this article, neither a new license nor an application to transfer an existing license shall be required upon any change, directly or beneficially, in the ownership of any licensed pawnshop incorporated under the laws of this state or any other state so long as the licensee continues to operate as a corporation doing a pawnshop business under the license. The commissioner may, however, require the licensee to provide such information as he deems reasonable and appropriate concerning the officer and directors of the corporation and persons owning in excess of twenty-five percent (25%) of the outstanding shares of the corporation.

Miss. Code Ann. § 75-67-323 Eligibility requirements for license; posting of license and sign in conspicuous place; prelicensing education requirement.

To be eligible for a pawnbroker license, an applicant shall: Operate lawfully and fairly within the purposes of this article; Not have been convicted of a felony in the last ten (10) years or be active as a beneficial owner for someone who has been convicted of a felony in the last ten (10) years; File with the commissioner a bond with good security in the penal sum of Ten Thousand Dollars ($10,000.00), payable to the State of Mississippi for the faithful performance by the licensee of the duties and obligations pertaining to the business so licensed and the prompt payment of any judgment which may be recovered against such licensee on account of damages or other claim arising directly or collaterally from any violation of the provisions of this article; such bond shall not be valid until it is approved by the commissioner; such applicant may file, in lieu thereof, cash, a certificate of deposit, or government bonds in the amount of Ten Thousand Dollars ($10,000.00); such deposit shall be filed with the commissioner and is subject to the same terms and conditions as are provided for in the surety bond required herein; any interest or earnings on such deposits are payable to the depositor; File with the commissioner an application accompanied by the initial license fee required in this article; Submit a set of fingerprints from any local law enforcement agency. In order to determine the applicant’s suitability for license, the commissioner shall forward the fingerprints to the Department of Public Safety; and if no disqualifying record is identified at the state level, the fingerprints shall be forwarded by the Department of Public Safety to the FBI for a national criminal history record check. Every licensee shall post his license in a conspicuous place at each place of business. Every licensee shall post and display a sign which measures at least twenty (20) inches by twenty (20) inches in a conspicuous place and in easy view of all persons who enter the place of business. The sign shall display bold, blocked letters, easily readable, with the following information: “This pawnshop is licensed and regulated by the Mississippi Department of Banking and Consumer Finance. If you encounter any unresolved problem with a transaction at this location, you are entitled to assistance. Please call or write: Mississippi Department of Banking and Consumer Finance, Post Office Drawer 23729, Jackson, MS 39225-3729; Phone 1-800-844-2499.” From and after December 1, 2010, each application for an initial license shall include evidence of the satisfactory completion of at least six (6) hours of approved prelicensing education, and each application for renewal shall include evidence of the satisfactory completion of at least six (6) hours of approved continuing education, by the owners or designated representative in pawnbroker transactions. Two (2) of the six (6) hours shall consist of instruction on the Mississippi Pawnshop Act and shall be approved by the department once the course is approved by the Mississippi Pawnbrokers Association or the National Pawnbrokers Association.

Miss. Code Ann. § 75-67-325 Suspension or revocation of license; conditional license; surrender of license; reinstatement of license; enforcement by Commissioner of Banking.

The commissioner may, after notice and hearing, suspend or revoke any license if it finds that: The licensee, either knowingly, or without the exercise of due care to prevent the same, has violated any provision of this article; Any fact or condition exists which, if it had existed or had been known to exist at the time of the original application for such license, clearly would have justified the commissioner in refusing such license; The licensee has aided, abetted or conspired with an individual or person to circumvent or violate the requirement of this article; The licensee, or a legal or beneficial owner of the license, has been convicted of a crime that the commissioner finds directly relates to the duties and responsibilities of the occupation of pawnbroker. The commissioner may conditionally license or place on probation a person whose license has been suspended or may reprimand a licensee for a violation of this article. The manner of giving notice and conducting a hearing as required by subsection (1) of this section shall be performed in accordance with Mississippi Administrative Procedures Law, Section 25-43-1 et seq., Mississippi Code of 1972. Any licensee may surrender any license by delivering it to the commissioner with written notice of its surrender, but such surrender shall not affect the licensee’s civil or criminal liability for acts committed prior thereto. No revocation, suspension or surrender of any license shall impair or affect the obligation of any pre-existing lawful contract between the licensee and any pledgor. Any pawn transaction made without benefit of license is void. The commissioner may reinstate suspended licenses or issue new licenses to a person whose license or licenses have been revoked if no fact or condition then exists which clearly would have justified the commissioner in refusing originally to issue a license under this article. The appropriate local law enforcement agency shall be notified of any licensee who has his license suspended or revoked as provided by this article. The Commissioner of Banking shall enforce the provisions of this section.

Miss. Code Ann. § 75-67-327 Application for new pawnshop license, transfer of existing license or approval for change in ownership.

An application for a new pawnshop license, the transfer of an existing pawnshop license or the approval of a change in the ownership of a licensed pawnshop shall be under oath and shall state the full name and place of residence of the applicant, the place where the business is to be conducted and other relevant information required by the commissioner. If the applicant is a partnership, the application shall state the full name of each partner. If the applicant is a corporation, the application shall state the full name and address of each officer, shareholder and director. Notwithstanding the provision of this article, the application need not state the full name and address of each shareholder, if the applicant is owned directly or beneficially by a person which as an issuer has a class of securities registered pursuant to Section 12 of the Securities Exchange Act of 1934 or is an issuer of securities which is required to file reports with the Securities and Exchange Commission pursuant to Section 15(d) of the Securities Exchange Act, provided that such person files with the commissioner such information, documents and reports as are required by the provision of the Securities Exchange Act to be filed by such issuer with the Securities and Exchange Commission.

Miss. Code Ann. § 75-67-329 Confiscation of pledged or purchased goods.

No pledged or purchased goods can be confiscated without specifically accomplishing the following actions: A police report being made in a timely manner; A warrant sworn out for the person who pledged or sold the goods to the pawnbroker; and A theft report, or a National Crime Information Center (NCIC) report, identifying the merchandise to be confiscated along with a request for restitution, pursuant to law. Pledged or purchased goods can be put on a one-time seven (7) day hold by the authorized law enforcement authorities. Confiscated merchandise shall be returned to the pawnbroker by the law enforcement authorities as soon as possible when determined that the merchandise has no rightful owner.

Miss. Code Ann. § 75-67-331 Penalty for failure to secure a license.

Any person who engages in the business of operating a pawnshop without first securing a license prescribed by this article shall be guilty of a misdemeanor and upon conviction thereof, shall be punishable by a fine not in excess of One Thousand Dollars ($1,000.00) or by confinement in the county jail for not more than one (1) year, or both.

Miss. Code Ann. § 75-67-333 Additional civil and criminal penalties for violations of this article; injunctions.

In addition to any other penalty which may be applicable, any licensee or employee who willfully violates any provision of this article, or who willfully makes a false entry in any record specifically required by this article, shall be guilty of a misdemeanor and upon conviction thereof, shall be punishable by a fine not in excess of One Thousand Dollars ($1,000.00) per violation or false entry. In addition to any other penalty which may be applicable, any licensee or employee who fails to make a record of a pawnshop transaction and subsequently sells or disposes of the pledged goods from such transaction shall be punished as follows: For a first offense, the licensee or employee shall be guilty of a misdemeanor and upon conviction thereof, shall be punishable by a fine not in excess of One Thousand Dollars ($1,000.00) or by imprisonment in the county jail for not more than one (1) year, or both fine and imprisonment; For a second offense, the licensee or employee shall be guilty of a felony and upon conviction thereof, shall be punishable by a fine not in excess of Five Thousand Dollars ($5,000.00) or by imprisonment in the custody of the State Department of Corrections for a term not less than one (1) year nor more than five (5) years, or by both fine and imprisonment. Any licensee convicted in the manner provided in this subsection (2) shall forfeit the surety bond or deposit required in Section 75-67-323 and the amount of such bond or deposit shall be credited to the budget of the state or local agency, which directly participated in the prosecution of such licensee, for the specific purpose of increasing law enforcement resources for that specific state or local agency. Such bond or deposit shall be used to augment existing state and local law enforcement budgets and not to supplant them. Compliance with the criminal provisions of this article shall be enforced by the appropriate law enforcement agency who may exercise for such purpose any authority conferred upon such agency by law. When the commissioner has reasonable cause to believe that a person is violating any provision of this article, the commissioner, in addition to and without prejudice to the authority provided elsewhere in this article, may enter an order requiring the person to stop or to refrain from the violation. The commissioner may sue in any circuit court of the state having jurisdiction and venue to enjoin the person from engaging in or continuing the violation or from doing any act in furtherance of the violation. In such an action, the court may enter an order or judgment awarding a preliminary or permanent injunction. The commissioner may, after notice and a hearing, impose a civil penalty against any licensee adjudged by the commissioner to be in violation of the provisions of this article. Such civil penalty shall not exceed Five Hundred Dollars ($500.00) per violation and shall be deposited into the State General Fund.

Miss. Code Ann. § 75-67-334 Authority of commissioner to examine persons suspected of violating licensure requirements.

Miss. Code Ann. § 75-67-335 Liability of rightful owner to pawnbroker where pledged goods are found to be stolen; restitution awarded upon successful prosecution.

If any pledged goods from a pawn transaction are found to be stolen goods and are returned to the rightful owner by law enforcement authorities and if the licensee who accepted such pledged goods has complied with all of the duties and responsibilities as specified in this article during such transaction, then the rightful owner of such pledged goods shall be liable to the licensee for the pledged amount if the rightful owner fails to prosecute or cooperate in the criminal prosecution related to such pawn transaction, provided that the rightful owner can prove that the stolen goods are his. It shall also be the responsibility of the licensee to assist or cooperate in the criminal prosecution related to such pawn transaction. Upon successful criminal prosecution, restitution shall be awarded to the pawnbroker and the rightful owner, if applicable, by the criminal court at the time of the defendant’s sentencing. If the identity of a person who pawned stolen goods can be determined, the district attorney may prosecute such person for any applicable criminal violations.

Miss. Code Ann. § 75-67-337 Severability provision.

The provisions of this article are severable. If any part of this article is declared invalid or unconstitutional, such declaration shall not affect the parts which remain.

Miss. Code Ann. § 75-67-339 Time limit for existing pawnbrokers to apply for license and pay fee.

Pawnbrokers operating pawnshop locations in business as of July 1, 1993, shall have until January 1, 1994, to apply for a license under this article and to pay the required fee, and upon such application and payment of such required fee, shall be granted a license under this article.

Miss. Code Ann. § 75-67-341 Authority of Commissioner of Banking to develop forms; commissioner may examine records without notice.

The Commissioner of Banking shall develop and provide any necessary forms to carry out the provisions of this article. To assure compliance with the provisions of this article, the commissioner may examine the pawn books and records of any licensee without notice during normal business hours. Any expenses incurred for such examinations are included in the licensee’s application fee; however, the commissioner may charge the licensee any actual expenses incurred while examining the licensee’s pawn records or books which are located outside of the State of Mississippi.

Miss. Code Ann. § 75-67-343 Authority of municipalities to enact ordinances complying with, but not more restrictive than, provision of this article.

Municipalities in this state may enact ordinances which are in compliance with, but not more restrictive than, the provisions of this article. Any existing or future order, ordinance or regulation which conflicts with this provision shall be null and void.

Miss. Code Ann. § 75-67-401 Title.

This article shall be known and may be cited as the “Mississippi Title Pledge Act.”

Miss. Code Ann. § 75-67-403 Definitions [Repealed effective July 1, 2022].

The following words and phrases shall have the following meanings: “Appropriate law enforcement agency” means the sheriff of each county in which the title pledge lender maintains an office, or the police chief of the municipality or law enforcement officers of the Department of Public Safety in which the title pledge lender maintains an office. “Attorney General” means the Attorney General of the State of Mississippi. “Commissioner” means the Commissioner of Banking and Consumer Finance of the State of Mississippi, or his designee, as the designated official for the purpose of enforcing this article. “Identification” means a government issued photographic identification. “Person” means an individual, partnership, corporation, joint venture, trust, association or other legal entity. “Pledged property” means any personal property certificate of title that is deposited with a title pledge lender in the course of the title pledge lender’s business and is the subject of a title pledge agreement. “Pledgor” means the person to whom the property is titled. “Title pledge agreement” means a thirty-day written agreement whereby a title pledge lender agrees to make a loan of money to a pledgor, and the pledgor agrees to give the title pledge lender a security interest in unencumbered titled personal property owned by the pledgor. The pledgor shall agree that the title pledge lender keep possession of the certificate of title. The pledgor shall have the exclusive right to redeem the certificate of title by repaying the loan of money in full and by complying with the title pledge agreement. When the certificate of title is redeemed, the title pledge lender shall release the security interest in the titled personal property and return the personal property certificate of title to the pledgor. The title pledge agreement shall provide that upon failure by the pledgor to redeem the certificate of title at the end of the original thirty-day agreement period, or at the end of any extension(s) thereof, the title pledge lender shall be allowed to take possession of the titled personal property. The title pledge agreement shall contain a power of attorney which authorizes the title pledge lender to transfer title to the pledged property from the pledgor to the title pledge lender upon failure to redeem the pledged property on or before the maturity date of the title pledge agreement, or any extension thereof. The title pledge lender shall take physical possession of the certificate of title for the entire length of the title pledge agreement, but shall not be required to take physical possession of the titled personal property at any time. A title pledge lender may only take unencumbered certificates of title for pledge, but may encumber the title as part of the title pledge transaction by perfecting its security interest in the titled property. “Title pledge lender” means any person engaged in the business of making title pledge agreements with pledgors; provided, however, that the following are exempt from the definition of “title pledge lender” and from the provisions of this article: any bank which is regulated by the Department of Banking and Consumer Finance, the Comptroller of the Currency of the United States, the Federal Deposit Insurance Corporation, the Board of Governors of the Federal Reserve System or any other federal or state authority and all affiliates of such bank, and additionally any bank or savings and loan association whose deposits or accounts are eligible for insurance by the Bank Insurance Fund or the Savings Association Insurance Fund or other fund administered by the Federal Deposit Insurance Corporation or any successor thereto, and all affiliates of such banks and savings and loan associations, any state or federally chartered credit union and finance company subject to licensing and regulation by the Department of Banking and Consumer Finance. “Title pledge office” means the location at which, or premises in which, a title pledge lender regularly conducts business. “Title pledge service charge” means a charge for investigating the title, appraising the titled personal property to which the pledged property relates, documenting and closing the title pledge agreement transaction, making required reports to appropriate law enforcement officials, and for all of the services provided by the title pledge lender. “Title pledge transaction form” means the instrument on which a title pledge lender records title pledge agreements pursuant to this article. “Titled personal property” means any personal property the ownership of which is evidenced and delineated by a state-issued certificate of title. “Records” or “documents” means any item in hard copy or produced in a format of storage commonly described as electronic, imaged, magnetic, microphotographic or otherwise, and any reproduction so made shall have the same force and effect as the original thereof and be admitted in evidence equally with the original.

Miss. Code Ann. § 75-67-405 Title pledge transaction form.

At the time the title pledge lender enters into each title pledge agreement, the title pledge lender shall complete a consecutively numbered title pledge transaction form for such transaction, and the pledgor shall sign the completed form. The commissioner shall approve the design and format of the title pledge transaction form, which shall elicit the information required under this section. In completing the title pledge transaction form, the title pledge lender shall record the following information, which shall be typed or written indelibly and legibly in English: The make, model and year of the titled personal property to which the pledged property relates. The vehicle identification number, or other comparable identification number, along with the license plate number, if applicable, of the titled personal property to which the pledged property relates. The name, address, date of birth, physical description, Social Security number of the pledgor and one (1) photo identification. The date of the transaction. The identification number and the type of identification (including the issuing agency) accepted from the pledgor. The amount of money advanced, which shall be designated as the “amount financed.” The maturity date of the title pledge agreement, which shall be thirty (30) days after the date of the transaction. The total title pledge service charge payable on the maturity date, designated as the “finance charge.” The total amount (amount financed plus finance charge) which must be paid to redeem the pledged property on the maturity date, designated as the “total of payments.” The annual percentage rate, computed in accordance with the regulations adopted by the Federal Reserve Board pursuant to the Federal Truth in Lending Act.

Miss. Code Ann. § 75-67-407 Information to be included on title pledge transaction forms.

The following information shall also be printed on all title pledge transaction forms: The name and address of the title pledge office. The statement that: The pledgor is not obligated to redeem the pledged certificate of title; If the pledgor does not redeem the pledged certificate of title on or before the maturity date of the title pledge agreement, the title pledge lender may take possession of the titled personal property to which the certificate of title relates; If the pledgor does not redeem the pledged property within thirty (30) days of the maturity date by paying all outstanding principal, interest and other fees, then the pledgor forfeits all right, title and interest in and to the titled personal property and the pledged property to the title pledge lender, who shall thereby acquire an absolute right of title and ownership to the titled personal property; and If this title pledge transaction form is lost, destroyed or stolen, the pledgor shall immediately advise the issuing title pledge lender. The statement that “The pledgor represents and warrants that the titled personal property to which the pledged property relates is not stolen, it has no liens or encumbrances against it, and the pledgor has the right to enter into this transaction.” Immediately above the signature of the pledgor or seller, the statement that “I, the pledgor declare under penalty of perjury that I have read the foregoing document and that, to the best of my knowledge and belief, the facts contained in it are true and correct.” A blank line for the signature of the pledgor. At the time of the transaction, the title pledge lender shall deliver to the pledgor a copy of the completed title pledge transaction form.

Miss. Code Ann. § 75-67-409 Verification statement; record of transactions of pledged property.

The pledgor shall sign a statement verifying that the pledgor is the rightful owner of the pledged property and is entitled to pledge it. The pledgor shall receive an exact copy of the title pledge agreement which shall be signed by the title pledge lender or any employee of the title pledge lender. The title pledge lender shall maintain a record of all transactions of pledged property on the premises for a period of two (2) years. A title pledge lender upon request shall provide to the appropriate law enforcement agency a complete record of all transactions. These records shall be a correct copy of the entries made of the title pledge transaction, except as to the amount of cash advanced for the pledged property and the monthly title pledge charge. The title pledge lender shall maintain records that contain a complete payment history of each customer evidencing all principal payments, service charge and/or other charges. Those records also shall reflect any unpaid principal balance as well as a payoff balance that includes the accrued service charges.

Miss. Code Ann. § 75-67-411 Right to redeem pledged property; failure to redeem.

A pledgor shall have no obligation to redeem pledged property or make any payment on a title pledge transaction. Upon the pledgor’s failure to redeem the pledged property on or before the maturity date of the title pledge agreement or any extension or continuation thereof, the title pledge lender has the right to take possession of the titled personal property and to exercise a power of attorney to transfer title to the pledged property. In taking possession, the title pledge lender or his agent may proceed without judicial process if this can be done without breach of the peace; or, if necessary, may proceed by action to obtain judicial process. If, within thirty (30) days after the maturity date, the pledgor redeems the pledged property by paying all outstanding principal, interest and other customary fees, the pledgor shall be given possession of the titled personal property and the pledged property without further charge. If the pledgor fails to redeem the pledged property during the thirty-day period provided in subsection (2) of this section, then the pledgor shall thereby forfeit all right, title and interest in and to the titled personal property and the pledged property to the title pledge lender who shall thereby acquire an absolute right of title and ownership to the titled personal property. The title pledge lender shall then have the sole right and authority to sell or dispose of the titled personal property. Notwithstanding anything in the preceding subsections of this section, the pledgor shall have three (3) business days after the title pledge lender has taken possession of the titled personal property to redeem the property by paying the amount of the unpaid principal balance, the delinquent service charge and the actual cost of the repossession. The cost of repossession shall include towing charges, storage charges paid to a third party and repairs made to the property to render it operable. If the property is sold after the three-business-day period, the title pledge lender shall return to the pledgor eighty-five percent (85%) of the amount received from the sale above the amount of the unpaid principal balance, the delinquent service charge, the actual cost of the repossession and a sales fee of One Hundred Dollars ($100.00). However, any titled personal property that is deemed to be salvage by the title pledge lender may be sold or otherwise disposed of immediately upon repossession. The title pledge transaction form shall contain a provision written in boldface type of at least fourteen (14) point size that notifies the pledgor that the titled personal property is subject to sale at any time after the three-business-day period has expired, unless the property is deemed to be salvage by the title pledge lender, in which case the property may be sold or otherwise disposed of immediately. The transaction form shall have a space located near that provision that the pledgor must initial.

Miss. Code Ann. § 75-67-413 Title pledge service charge; extension of title pledge transaction period; additional payments on same pledged property to be evidenced by separate title pledge agreement.

A title pledge lender may contract for and receive a title pledge service charge in lieu of interest or other charges for all services, expenses, cost and losses of every nature not to exceed twenty-five percent (25%) of the principal amount, per month, advanced in the title pledge transaction. Any interest, charge or fees contracted for or received, directly or indirectly, in excess of the amount permitted under subsection (1) of this section shall be uncollectible and the title pledge transaction shall be void. The title pledge service charge allowed under subsection (1) of this section shall be deemed earned, due and owing as of the date of the title pledge transaction and a like sum shall be deemed earned, due and owing on the thirty-first day from the date of the transaction and on every thirtieth day thereafter. By agreement of the parties, the maturity date of the title pledge transaction may be extended or continued for thirty-day periods, provided that the service charges as specified in subsection (1) are not exceeded for any extensions. All extensions or continuations of the title pledge transaction shall be evidenced in writing. No accrued interest or service charge shall be capitalized or added to the original principal of the title pledge transaction during any extension or continuation. Beginning with the first extension or continuation and at each successive extension or continuation thereafter, the pledgor shall be required to reduce the principal amount financed by at least ten percent (10%) of the original principal amount of the title pledge transaction. Notwithstanding any provision in this article to the contrary, if the pledgor fails to pay at least ten percent (10%) of the original principal amount at any such extension or continuation, the title pledge lender may, at its option, either (a) declare the outstanding principal and any service charges to be immediately due and payable, or (b) allow the transaction to be extended or continued, provided that the title pledge lender shall reduce the principal amount of the loan by ten percent (10%) of the original principal amount solely for the purposes of calculating its service charge. This reduction in principal shall continue to be owing by the pledgor in accordance with the title pledge transaction, but that amount shall not be entitled to accrue interest or service charges thereafter. Any additional payment of funds on the same pledged property must be evidenced by a separate title pledge agreement. A title pledge lender shall not advance funds to a pledgor to pay off an existing title pledge agreement.

Miss. Code Ann. § 75-67-415 Prohibited actions of title pledge lender.

A title pledge lender, or any agent or employee of such title pledge lender, shall not: Falsify or intentionally fail to make an entry of any material matter in a title pledge lender transaction form. Refuse to allow the commissioner, the appropriate law enforcement official, state attorney, or any of their designated representatives having appropriate jurisdiction, to inspect completed title pledge transaction forms or pledged property during the ordinary hours of the title pledge lender’s business or other times acceptable to both parties. Enter into a title pledge agreement with a person under the age of eighteen (18) years. Make any agreement requiring or allowing the personal liability of a pledgor or the waiver of any of the provisions of this article. Knowingly enter into a title pledge agreement with any person who is under the influence of drugs or alcohol when such condition is visible or apparent, or with any person using a name other than his own name or the registered name of his business. Enter into a title pledge agreement in which the amount of money loaned in consideration of the pledge of any single certificate of title exceeds Two Thousand Five Hundred Dollars ($2,500.00). Fail to exercise reasonable care in the safekeeping of pledged property or of titled personal property repossessed pursuant to this article. Fail to return pledged property or repossessed titled personal property to a pledgor, with any and all of the title pledge lender’s liens on the property properly released, upon payment of the full amount due the title pledge lender, unless the property has been seized or impounded by an authorized law enforcement agency, taken into custody by a court, or otherwise disposed of by court order. Sell or otherwise charge for insurance in connection with a title pledge agreement.

Miss. Code Ann. § 75-67-417 Presentation of title pledge transaction form; lost, destroyed, or stolen forms.

Any person presenting identification of himself and presenting the pledgor’s copy of the title pledge transaction form to the title pledge lender is presumed to be entitled to redeem the pledged property described in the title pledge lender transaction form; provided, however, that if the title pledge lender determines that the person is not the original pledgor, the title pledge lender is not required to allow the redemption of the pledged property by such person. The person redeeming the pledged property must sign the pledgor’s copy of the title pledge transaction form, which the title pledge lender may retain to evidence such person’s receipt of the pledged property. If the person redeeming the pledged property is not the original pledgor, that person must show identification to the title pledge lender, and the title pledge lender shall record the person’s name and address on the title pledge transaction form retained by the title pledge lender. The title pledge lender shall not be liable to the original pledgor for having allowed the redemption of the pledged property by another person pursuant to this subsection (1). If the pledgor’s copy of the title pledge transaction form is lost, destroyed or stolen, the pledgor must notify the title pledge lender in writing by certified or registered mail, return receipt requested, or in person evidenced by a signed receipt, and receipt of this notice shall invalidate such title pledge transaction form if the pledged property has not previously been redeemed. Before delivering the pledged property or issuing a new title pledge transaction form, the title pledge lender shall require the pledgor to make a written statement of the loss, destruction or theft of the pledgor’s copy of the title pledge transaction form. The title pledge lender shall record on the written statement the type of identification and the identification number accepted from the pledgor, the date the statement is given and the number of the title pledge transaction form lost, destroyed or stolen. The statement shall be signed by the title pledge lender or the title pledge office employee who accepts the statement from the pledgor. A title pledge lender is entitled to a fee not to exceed Five Dollars ($5.00) in connection with each such lost, destroyed or stolen title pledge transaction form and the taking of a properly prepared written statement. No sales tax shall be deemed due or collectible in connection with the redemption of pledged property under this article.

Miss. Code Ann. § 75-67-419 License requirements for title pledge lender; annual fees; temporary license.

A person may not engage in business as a title pledge lender or otherwise portray himself as a title pledge lender unless the person has a valid license authorizing engagement in the business. A separate license is required for each place of business under this article. The commissioner may issue more than one (1) license to a person if that person complies with this article for each license. A new license or application to transfer an existing license is required upon a change, directly or beneficially, in the ownership of any licensed title pledge office and an application shall be made to the commissioner in accordance with this article. When a licensee wishes to move a title pledge office to another location, the licensee shall give thirty (30) days prior written notice to the commissioner who shall amend the license accordingly. Each license shall remain in full force and effect until relinquished, suspended, revoked or expired. With each initial application for a license, the applicant shall pay the commissioner at the time of making the application a license fee of Seven Hundred Fifty Dollars ($750.00), and on or before June 1 of each year thereafter, an annual renewal fee of Four Hundred Seventy-five Dollars ($475.00). If the annual fee remains unpaid thirty (30) days after June 1, the license shall thereupon expire, but not before June 30 of any year for which the annual fee has been paid. If any person engages in business as provided for in this article without paying the license fee provided for in this article before commencing business or before the expiration of such person’s current license, as the case may be, then the person shall be liable for the full amount of the license fee, plus a penalty in an amount not to exceed Twenty-five Dollars ($25.00) for each day that the person has engaged in the business without a license or after the expiration of a license. All licensing fees and penalties shall be paid into the Consumer Finance Fund of the Department of Banking and Consumer Finance. Notwithstanding other provisions of this article, the commissioner may issue a temporary license authorizing the operation of a title pledge office on the receipt of an application to transfer a license from one person to another or on the receipt of an application for a license involving principals and owners that are substantially identical to those of an existing licensed title pledge office. The temporary license is effective until the permanent license is issued or denied. Notwithstanding other provisions of this article, neither a new license nor an application to transfer an existing license shall be required upon any change, directly or beneficially, in the ownership of any licensed title pledge office incorporated under the laws of this state or any other state so long as the licensee continues to operate as a corporation doing a title pledge business under the license. The commissioner may, however, require the licensee to provide such information as he deems reasonable and appropriate concerning the officer and directors of the corporation and persons owning in excess of twenty-five percent (25%) of the outstanding shares of the corporation.

Miss. Code Ann. § 75-67-421 Eligibility requirements for title pledge lender license.

To be eligible for a title pledge lender license, an applicant shall: Operate lawfully and fairly within the purposes of this article; Not have been convicted of a felony in the last ten (10) years or be active as a beneficial owner for someone who has been convicted of a felony in the last ten (10) years; File with the commissioner a bond with good security in the penal sum of Fifty Thousand Dollars ($50,000.00) for each location at which the applicant proposes to engage in the business of title pledge lending, but in no event shall the aggregate amount of the bond for all locations per applicant exceed Two Hundred Fifty Thousand Dollars ($250,000.00) and no more than Fifty Thousand Dollars ($50,000.00) shall be payable or recoverable on the bond for each location; the bond shall be payable to the State of Mississippi for the faithful performance by the licensee of the duties and obligations pertaining to the business so licensed and the prompt payment of any judgment which may be recovered against the licensee on account of damages or other claim arising directly or collaterally from any violation of the provisions of this article; the bond shall not be valid until it is approved by the commissioner; the applicant may file, in lieu thereof, cash, a certificate of deposit, or government bonds in the amount of Twenty-five Thousand Dollars ($25,000.00) for each location at which the applicant proposes to engage in the business of title pledge lending, but in no event shall the aggregate amount of the cash, certificate of deposit or government bonds for all locations per applicant exceed Two Hundred Fifty Thousand Dollars ($250,000.00) and no more than Twenty-five Thousand Dollars ($25,000.00) shall be payable or recoverable on the cash, certificate of deposit or government bonds for each location; the deposit of the cash, certificate of deposit or government bonds shall be filed with the commissioner and is subject to the same terms and conditions as are provided for in the surety bond required herein; any interest or earnings on such deposits are payable to the depositor. File with the commissioner an application accompanied by a set of fingerprints from any local law enforcement agency, and the initial license fee required in this article. In order to determine the applicant’s suitability for license, the commissioner shall forward the fingerprints to the Department of Public Safety; and if no disqualifying record is identified at the state level, the fingerprints shall be forwarded by the Department of Public Safety to the FBI for a national criminal history record check. Upon the filing of an application in a form prescribed by the commissioner, accompanied by the fee and documents required in this article, the department shall investigate to ascertain whether the qualifications prescribed by this article have been satisfied. If the commissioner finds that the qualifications have been satisfied and, if he approves the documents so filed by the applicant, he shall issue to the applicant a license to engage in the business of title pledge lending in this state. Complete and file with the commissioner an annual renewal application accompanied by the renewal fee required in this article. The license shall be kept conspicuously posted in the place of business of the licensee.

Miss. Code Ann. § 75-67-423 Grounds for suspension of license; notice and hearing requirements.

The commissioner may, after notice and hearing, suspend or revoke any license if it finds that: The licensee, either knowingly, or without the exercise of due care to prevent the same, has violated any provision of this article; Any fact or condition exists which, if it had existed or had been known to exist at the time of the original application for the license, clearly would have justified the commissioner in refusing the license; The licensee has aided, abetted or conspired with an individual or person to circumvent or violate the requirements of this article; The licensee, or a legal or beneficial owner of the license, has been convicted of a crime that the commissioner finds directly relates to the duties and responsibilities of the occupation of title pledge lender. The commissioner may conditionally license or place on probation a person whose license has been suspended or may reprimand a licensee for a violation of this article. The manner of giving notice and conducting a hearing as required by subsection (1) of this section shall be performed in accordance with Mississippi Administrative Procedures Law, Section 25-43-1.101 et seq., Mississippi Code of 1972. Any licensee may surrender any license by delivering it to the commissioner with written notice of its surrender, but such surrender shall not affect the licensee’s civil or criminal liability for acts committed prior thereto. No revocation, suspension or surrender of any license shall impair or affect the obligation of any pre-existing lawful contract between the licensee and any pledgor. Any title pledge transaction made without benefit of license is void. The commissioner may reinstate suspended licenses or issue new licenses to a person whose license or licenses have been revoked if no fact or condition then exists that clearly would have justified the commissioner in refusing originally to issue a license under this article. The appropriate local law enforcement agency shall be notified of any licensee who has his license suspended or revoked as provided by this article. The Commissioner of Banking and Consumer Finance shall enforce the provisions of this section.

Miss. Code Ann. § 75-67-425 Oath required for new or transferred license; application; contents of application.

An application for a new title pledge office license, the transfer of an existing title pledge office license or the approval of a change in the ownership of a licensed title pledge office shall be under oath and shall state the full name and place of residence of the applicant, the place where the business is to be conducted and other relevant information required by the commissioner. If the applicant is a partnership, the application shall state the full name of each partner. If the applicant is a corporation, the application shall state the full name and address of each officer, shareholder and director. Notwithstanding the provisions of this section, the application need not state the full name and address of each shareholder, if the applicant is owned directly or beneficially by a person which as an issuer has a class of securities registered pursuant to Section 12 of the Securities Exchange Act of 1934 or is an issuer of securities which is required to file reports with the Securities and Exchange Commission pursuant to Section 15(d) of the Securities Exchange Act, provided that such person files with the commissioner such information, documents and reports as are required by the provision of the Securities Exchange Act to be filed by such issuer with the Securities and Exchange Commission.

Miss. Code Ann. § 75-67-427 Prerequisites to confiscating pledged property.

No pledged property can be confiscated without the following actions having been accomplished: A police report being made in a timely manner; A warrant sworn out for the person who pledged the property to the title pledge lender; and A theft report or a National Crime Information Center (NCIC) report identifying the pledged property to be confiscated along with a request for restitution, pursuant to law. Pledged property can be put on a one-time seven-day hold by the authorized law enforcement authorities. Confiscated pledged property shall be returned to the title pledge lender by the law enforcement authorities as soon as possible when determined that the pledged property has no rightful owner.

Miss. Code Ann. § 75-67-429 Penalties for operating title pledge office without a license.

Any person who engages in the business of operating a title pledge office without first securing a license prescribed by this article shall be guilty of a misdemeanor and, upon conviction thereof, shall be punishable by a fine not in excess of One Thousand Dollars ($1,000.00) or by confinement in the county jail for not more than one (1) year, or both.

Miss. Code Ann. § 75-67-431 Penalties for violation of chapter.

In addition to any other penalty which may be applicable, any licensee or employee who willfully violates any provision of this article, or who willfully makes a false entry in any record specifically required by this article, shall be guilty of a misdemeanor and, upon conviction thereof, shall be punishable by a fine not in excess of One Thousand Dollars ($1,000.00) per violation or false entry. In addition to any other penalty which may be applicable, any licensee or employee who fails to make a record of a title pledge transaction and subsequently sells or disposes of the pledged property from such transaction shall be punished as follows: For a first offense, the licensee or employee shall be guilty of a misdemeanor and upon conviction thereof, shall be punishable by a fine not in excess of One Thousand Dollars ($1,000.00) or by imprisonment in the county jail for not more than one (1) year, or both fine and imprisonment; For a second offense, the licensee or employee shall be guilty of a felony and, upon conviction thereof, shall be punishable by a fine not in excess of Five Thousand Dollars ($5,000.00) or by imprisonment in the custody of the State Department of Corrections for a term not less than one (1) year nor more than five (5) years, or by both fine and imprisonment. Any licensee convicted in the manner provided in this subsection (2) shall forfeit the surety bond or deposit required in Section 75-67-421 and the amount of the bond or deposit shall be credited to the budget of the state or local agency, which directly participated in the prosecution of the licensee, for the specific purpose of increasing law enforcement resources for that specific state or local agency. Any proceeds of a forfeited bond or deposit shall be used to augment existing state and local law enforcement budgets and not to supplant them. Compliance with the criminal provisions of this article shall be enforced by the appropriate law enforcement agency who may exercise for that purpose any authority conferred upon the agency by law. When the commissioner has reasonable cause to believe that a person is violating any provision of this article, the commissioner, in addition to and without prejudice to the authority provided elsewhere in this article, may enter an order requiring the person to stop or to refrain from the violation. The commissioner may sue in any circuit court of the state having jurisdiction and venue to enjoin the person from engaging in or continuing the violation or from doing any act in furtherance of the violation. In such an action, the court may enter an order or judgment awarding a preliminary or permanent injunction. The commissioner may, after notice and hearing, impose a civil penalty against any licensee if the licensee or employee is adjudged by the commissioner to be in violation of the provisions of this article. Such civil penalty shall not exceed Five Hundred Dollars ($500.00) per violation and shall be deposited into the Department of Banking Special Fund.

Miss. Code Ann. § 75-67-433 Stolen pledged property.

If any pledged property from a title pledge transaction is found to be stolen and is returned to the rightful owner by law enforcement authorities and if the licensee who accepted such pledged property has complied with all of the duties and responsibilities as specified in this article during such transaction, then the rightful owner of such pledged property shall be liable to the licensee for the pledged amount if the rightful owner fails to prosecute or cooperate in the criminal prosecution related to such title loan transaction, provided that the rightful owner can prove that the stolen goods are his. It shall also be the responsibility of the licensee to assist or cooperate in the criminal prosecution related to such title pledge transaction. If the identity of a person who pawned stolen goods can be determined, the district attorney may prosecute such person for any applicable criminal violations.

Miss. Code Ann. § 75-67-435 Administration of chapter; examination of books and records.

The Commissioner of Banking and Consumer Finance shall develop and provide any necessary forms to carry out the provisions of this article. The department may adopt reasonable administrative regulations, not inconsistent with law, for the enforcement of this article. To assure compliance with the provisions of this article, the department may examine the books and records of any licensee without notice during normal business hours. The commissioner may charge the licensee an examination fee in an amount not less than Three Hundred Dollars ($300.00) nor more than Six Hundred Dollars ($600.00) for each office or location within the State of Mississippi, plus any actual expenses incurred while examining the licensee’s records or books that are located outside the State of Mississippi. However, in no event shall a licensee be examined more than once in a two-year period unless for cause shown based upon consumer complaint and/or other exigent reasons as determined by the commissioner.

Miss. Code Ann. § 75-67-437 Time period for application for license.

Title pledge lenders in operation as of April 22, 1997, shall have until July 1, 1997, to apply for a license under this article.

Miss. Code Ann. § 75-67-439 Complying or conflicting municipal ordinance.

Miss. Code Ann. § 75-67-441 Severability.

The provisions of this article are severable. If any part of this article is declared invalid or unconstitutional, such declaration shall not affect the parts which remain.

Miss. Code Ann. § 75-67-443 Hiring of employees.

The commissioner may employ additional necessary permanent full-time employees above the number of permanent full-time employees authorized for the department for fiscal year 1997 to carry out and enforce the provisions of this article.

Miss. Code Ann. § 75-67-445 Advertising, displaying, or publishing false or misleading statements prohibited.

A licensee shall not advertise, display or publish, or permit to be advertised, displayed or published, in any manner whatsoever, any statement or representation that is false, misleading or deceptive.

Miss. Code Ann. § 75-67-447 Commissioner authorized to examine persons suspected of conducting business requiring a license.

Miss. Code Ann. § 75-67-449 Liability of licensees.

Miss. Code Ann. § 75-67-501 Short title.

This article shall be known and may be cited as the “Mississippi Check Cashers Act.”

Miss. Code Ann. § 75-67-503 Definitions.

The following words and phrases used in this article shall have the following meanings unless the context clearly indicates otherwise: “Appropriate law enforcement agency” means the sheriff of each county in which the licensee maintains an office, or the police chief of the municipality in which the licensee maintains an office, or law enforcement officers of the Department of Public Safety. “Attorney General” means the Attorney General of the State of Mississippi. “Check” means any check, draft, money order, personal money order, pre-authorized customer draft, or other instrument for the transmission or payment of money as determined by the Commissioner of Banking and Consumer Finance, but shall not include travelers checks or foreign drawn payment instruments. A “check casher” means any individual, partnership, association, joint-stock association, trust or corporation, excluding the United States government and the government of this state, who exchanges cash or other value for any check, draft, money order, personal money order, or other instrument for the transmission or payment of money, except travelers checks and foreign drawn payment instruments, and who charges a fee therefor. “Commissioner” means the Mississippi Commissioner of Banking and Consumer Finance, or his designee, as the designated official for the purpose of enforcing this article. “Department” means the Department of Banking and Consumer Finance. “Licensee” means any individual, partnership, association or corporation duly licensed by the Department of Banking and Consumer Finance to engage in the business of cashing checks under this article. “Person” means an individual, partnership, corporation, joint venture, trust, association or any legal entity however organized. “Personal money order” means any instrument for the transmission or payment of money in relation to which the purchaser or remitter appoints or purports to appoint the seller thereof as his agent for the receipt, transmission or handling of money, whether such instrument is signed by the seller or by the purchaser or remitter or some other person.

Miss. Code Ann. § 75-67-505 Licensing requirements [Repealed effective July 1, 2022].

A person may not engage in business as a check casher or otherwise portray himself as a check casher unless the person has a valid license authorizing engagement in the business. Any transaction that would be subject to this article that is made by a person who does not have a valid license under this article shall be null and void. A separate license is required for each place of business under this article and each business must be independent of, and not a part of, any other business operation. A check cashing business shall not be a part of, or located at the same business address with, a pawnshop, title pledge office and small loan company. A check cashing business shall (i) have a definitive United States postal address and E911 address; (ii) comply with local zoning requirements; (iii) have a minimum of one hundred (100) square feet with walls from floor to ceiling separating the operation from any other businesses; (iv) have an outside entrance, but may be located in an area that has a common lobby shared by other businesses as long as the customers do not enter the check cashing business through another business; (v) have proper signage; and (vi) maintain separate books and records. Any licensee who does not cash any delayed deposit checks as authorized under Section 75-67-519 shall not be subject to the requirements of subparagraphs (i), (iii) and (iv) of this paragraph. A licensed check casher may sell, at the same location as his check cashing business, the following items and services: money orders; income tax preparation service; copy service; wire transfer service; notary service; pagers; pager service; prepaid cellular service; debit card; prepaid telephone cards; prepaid telephone service; and operate a processing center where utility bills, credit card payments and other payments are collected from the general public and governmental and private payments are distributed. In the event a licensee accepts wire transfers in the form of a direct deposit of a payroll check or other similar types of deposit, the licensee shall not encumber any transferred funds against a deferred deposit agreement or any delinquent deferred deposit agreement with such customer. The commissioner may authorize additional functions in addition to those provided in this subsection that may be performed as part of a check cashing business, but shall authorize the offering of credit availability transactions as provided in Sections 75-67-601 through 75-67-637. The commissioner may issue more than one (1) license to a person if that person complies with this article for each license. A new license is required upon a change, directly or beneficially, in the ownership of any licensed check casher business and an application shall be made to the commissioner in accordance with this article. When a licensee wishes to move a check casher business to another location, the licensee shall give thirty (30) days’ prior written notice to the commissioner who shall amend the license accordingly. Each license shall remain in full force and effect until relinquished, suspended, revoked or expired. With each initial application for a license, the applicant shall pay the commissioner at the time of making the application a license fee of Seven Hundred Fifty Dollars ($750.00), and on or before September 1 of each year thereafter, an annual renewal fee of Four Hundred Seventy-five Dollars ($475.00). If the annual renewal fee remains unpaid twenty-nine (29) days after September 1, the license shall thereupon expire, but not before the thirtieth day of September of any year for which the annual fee has been paid. If any licensee fails to pay the annual renewal fee before the thirtieth day of September of any year for which the renewal fee is due, then the licensee shall be liable for the full amount of the license fee, plus a penalty in an amount not to exceed Twenty-five Dollars ($25.00) for each day that the licensee has engaged in business after September 30. All licensing fees and penalties shall be paid into the Consumer Finance Fund of the Department of Banking and Consumer Finance. Notwithstanding other provisions of this article, the commissioner may issue a temporary license authorizing the operator of a check casher business on the receipt of an application for a license involving principals and owners that are substantially identical to those of an existing licensed check casher. The temporary license is effective until the permanent license is issued or denied.

Miss. Code Ann. § 75-67-507 Exemptions.

The provisions of this article shall not apply to: Any bank, trust company, savings association, savings and loan association, savings bank or credit union which is chartered under the laws of this state or under federal law and domiciled in this state. Any person who cashes checks at their face value and does not charge the consumer a fee or otherwise receive any consideration from the consumer. Any person principally engaged in the retail sale of goods or services who, either as an incident to or independently of a retail sale, may from time to time cash checks for a fee, not exceeding three percent (3%) of the face amount of the check or Ten Dollars ($10.00), whichever is greater. However, the fee shall be conspicuously posted for public view.

Miss. Code Ann. § 75-67-509 Applicant eligibility requirements.

To be eligible for a check casher license, an applicant shall: Operate lawfully and fairly within the purposes of this article. Not have been convicted of a felony in the last ten (10) years or be active as a beneficial owner for someone who has been convicted of a felony in the last ten (10) years. File with the commissioner a bond with good security in the penal sum of Ten Thousand Dollars ($10,000.00), payable to the State of Mississippi for the faithful performance by the licensee of the duties and obligations pertaining to the business so licensed and the prompt payment of any judgment which may be recovered against the licensee on account of charges or other claims arising directly or collectively from any violation of the provisions of this article. The bond shall not be valid until it is approved by the commissioner. The applicant may file, in lieu of the bond, cash, a certificate of deposit or government bonds in the amount of Ten Thousand Dollars ($10,000.00). Those deposits shall be filed with the commissioner and are subject to the same terms and conditions as are provided for in the surety bond required in this paragraph. Any interest or earnings on those deposits are payable to the depositor. File with the commissioner an application for a license and the initial license fee required in this article. If applicant’s application is approved, a check casher license will be issued within thirty (30) days. Submit a set of fingerprints from any local law enforcement agency. In order to determine the applicant’s suitability for license, the commissioner shall forward the fingerprints to the Department of Public Safety; and if no disqualifying record is identified at the state level, the fingerprints shall be forwarded by the Department of Public Safety to the FBI for a national criminal history record check. Complete and file with the commissioner an annual renewal application for a license accompanied by the renewal fee required in this article.

Miss. Code Ann. § 75-67-511 Application form.

Each application for a license shall be in a form prescribed by the commissioner, signed under oath, and shall include the following: The legal name, residence and business address of the applicant and, if the applicant is a partnership, association or corporation, of every member, officer and director thereof. However, the application need not state the full name and address of each shareholder, if the applicant is owned directly or beneficially by a person which as an issuer has a class of securities registered under Section 12 of the Securities and Exchange Act of 1934 or is an issuer of securities which is required to file reports with the Securities and Exchange Commission under Section 15(d) of the Securities and Exchange Act, provided that the person files with the commissioner such information, documents and reports as are required by the provisions of the Securities and Exchange Act to be filed by the issuer with the Securities and Exchange Commission. The complete address of the location at which the applicant proposes to engage in the business of cashing checks. Other data and information the department may require with respect to the applicant, its directors, trustees, officers, members or agents. Sworn financial statements of the applicant showing a net worth of at least Twenty Thousand Dollars ($20,000.00) for the first license. The applicant shall possess and maintain a net worth of at least Twenty Thousand Dollars ($20,000.00) for the first license and at least Five Thousand Dollars ($5,000.00) for each additional license.

Miss. Code Ann. § 75-67-513 Investigations, findings and posting of licenses.

Upon filing of an application in a form prescribed by the commissioner, accompanied by the documents required in this article, the department shall investigate to ascertain whether the qualifications prescribed by Sections 75-67-509 and 75-67-511 have been satisfied. If the commissioner finds that the qualifications have been satisfied and, if he approves the documents so filed by the applicant, he shall issue to the applicant a license to engage in the business of check cashing in this state. The license shall be kept conspicuously posted in the place of business of the licensee.

Miss. Code Ann. § 75-67-515 Licensee duties; regulations; examination of books and records.

The department may adopt reasonable administrative regulations, not inconsistent with law, for the enforcement of this article. To assure compliance with the provisions of this article, the department may examine the books and records of any licensee without notice during normal business hours. The commissioner may charge the licensee an examination fee in an amount not less than Three Hundred Dollars ($300.00) nor more than Six Hundred Dollars ($600.00) for each office or location within the State of Mississippi plus any actual expenses incurred while examining the licensee’s records or books that are located outside the State of Mississippi. However, in no event shall a licensee be examined more than once in a two-year period unless for cause shown based upon consumer complaint and/or other exigent reasons as determined by the commissioner. Each licensee shall keep and use in its business any books, accounts and records the department may require to carry into effect the provisions of this article and the administrative regulations issued under this article. Every licensee shall preserve the books, accounts and records of its business for at least two (2) years. Any fee charged by a licensee for cashing a check shall be posted conspicuously to the bearer of the check before cashing the check, and the fee shall be a service fee and not interest. Before a licensee deposits with any bank or other depository institution a check cashed by the licensee, the check shall be endorsed with the actual name under which the licensee is doing business. All personal checks cashed for a customer by a licensee shall be dated on the actual date the cash is tendered to the customer. No licensee shall cash a check payable to a payee unless the licensee has previously obtained appropriate identification of the payee clearly indicating the authority of the person cashing the check, draft or money order on behalf of the payee. No licensee shall indicate through advertising, signs, billboards or otherwise that checks may be cashed without identification of the bearer of the check; and any person seeking to cash a check shall be required to submit reasonable identification as prescribed by the department. The provisions of this subsection shall not prohibit a licensee from cashing a check simultaneously with the verification and establishment of the identity of the presenter by means other than presentation of identification. Within five (5) business days after being advised by the payor financial institution that a check has been altered, forged, stolen, obtained through fraudulent or illegal means, negotiated without proper legal authority or represents the proceeds of illegal activity, the licensee shall notify the department and the district attorney for the judicial district in which the check was received. If a check is returned to the licensee by the payor financial institution for any of these reasons, the licensee may not release the check without consent of the district attorney or other investigating law enforcement authority. If a check is returned to a licensee from a payor financial institution because there are insufficient funds in or on deposit with the financial institution to pay the check, the licensee or any other person on behalf of the licensee shall not institute or initiate any criminal prosecution against the maker or drawer of the personal check with the intent and purpose of aiding in the collection of or enforcing the payment of the amount owed to the check casher by the maker or drawer of the check. Nothing in this article shall prohibit a licensee from issuing coupons to customers or potential customers which are redeemable against a deferred deposit transaction provided the redemption results in a financial benefit to the customer on current or future transactions.

Miss. Code Ann. § 75-67-516 Licensee prohibited from advertising, displaying, or publishing false or misleading statements.

Miss. Code Ann. § 75-67-517 Maximum fees; advancing monies; time to deposit check.

Notwithstanding any other provision of law, no check cashing business licensed under this article shall directly or indirectly charge or collect fees for check cashing services in excess of the following: Three percent (3%) of the face amount of the check or Five Dollars ($5.00), whichever is greater, for checks issued by the federal government, state government, or any agency of the state or agency of the state or federal government, or any county or municipality of this state. Ten percent (10%) of the face amount of the check or Five Dollars ($5.00), whichever is greater, for personal checks. Five percent (5%) of the face amount of the check or Five Dollars ($5.00), whichever is greater, for all other checks, or for money orders. A licensee may not advance monies on the security of any personal check unless the presenter attests that the check being presented is drawn on a legitimate, open and active account. Except as provided by Section 75-67-519, any licensee who cashes a check for a fee shall deposit the check not later than three (3) business days from the date the check is cashed.

Miss. Code Ann. § 75-67-519 Deferred and delayed deposits; licensee to provide consumer education pamplet to customer.

A licensee may delay the deposit of a personal check cashed for a customer with a face amount of not more than Two Hundred Fifty Dollars ($250.00) for up to thirty (30) days under the provisions of this section. A licensee shall enter into a written agreement for a delayed deposit transaction of a personal check cashed for a customer with a face amount of more than Two Hundred Fifty Dollars ($250.00) but not more than Five Hundred Dollars ($500.00) for a period of at least twenty-eight (28) days but not more than thirty (30) days, as selected by the customer, under the provisions of this section, with the licensee having the option to deposit or collect the check. The face amount of delayed deposit checks cashed under the provisions of this section shall not exceed Five Hundred Dollars ($500.00), including the amount of the fees. Each customer is limited to a maximum amount of Five Hundred Dollars ($500.00), including the amount of the fees, at any time. Each delayed deposit check cashed by a licensee shall be documented by a written agreement that has been signed by the customer and the licensee. The written agreement shall contain a statement of the total amount of any fees charged, expressed as a dollar amount and as an annual percentage rate. The written agreement shall authorize the licensee to delay deposit of the personal check with a face amount of not more than Two Hundred Fifty Dollars ($250.00) until a specific date not later than thirty (30) days from the date of the transaction, and shall authorize the licensee to delay deposit or collection of the personal check with a face amount of more than Two Hundred Fifty Dollars ($250.00) but not more than Five Hundred Dollars ($500.00) in accordance with the written agreement. A licensee shall not directly or indirectly charge any fee or other consideration in excess of Twenty Dollars ($20.00) per One Hundred Dollars ($100.00) advanced for cashing a delayed deposit check with a face amount of not more than Two Hundred Fifty Dollars ($250.00). A licensee shall not directly or indirectly charge any fee or other consideration in excess of Twenty-one Dollars and Ninety-five Cents ($21.95) per One Hundred Dollars ($100.00) advanced for cashing a delayed deposit check with a face amount of more than Two Hundred Fifty Dollars ($250.00) but not more than Five Hundred Dollars ($500.00). In no event shall the amount of the checks cashed exceed Five Hundred Dollars ($500.00), including the amount of the fee. No check cashed under the provisions of this section shall be repaid by the proceeds of another check cashed by the same licensee or any affiliate of the licensee. A licensee shall not renew or otherwise extend any delayed deposit check. A licensee shall not offer discount catalog sales or other similar inducements as part of a delayed deposit transaction. A licensee shall not charge a late fee or collection fee on any deferred deposit transaction as a result of a returned check or the default by the customer in timely payment to the licensee. Notwithstanding anything to the contrary contained in this section, a licensee may charge a processing fee, not to exceed an amount authorized by the commissioner, for a check returned for any reason, including, without limitation, insufficient funds, closed account or stop payment, if such processing fee is authorized in the written agreement signed by the customer and licensee. In addition, if a licensee takes legal action against a customer to collect the amount of a delayed deposit check for which the licensee has not obtained payment and obtains a judgment against the customer for the amount of that check, the licensee shall also be entitled to any court-awarded fees. When cashing a delayed deposit check, a licensee may pay the customer in the form of the licensee’s business check or a money order; however, no additional fee may then be charged by the licensee for cashing the licensee’s business check or money order issued to the customer. Before entering any transactions under this section, a licensee shall provide to the customer a pamphlet prepared by the commissioner that describes general information about the transaction and about the customer’s rights and responsibilities in the transaction, and that includes the consumer hotline phone number to the Mississippi Department of Banking and Consumer Finance and to the Mississippi Attorney General’s office. Each agreement executed by a licensee shall include the following statement, which shall be located just above the signature line for the customer: “In addition to agreeing to the terms of this agreement, I acknowledge, by my signature below, the receipt of a consumer education pamphlet regarding this transaction.”

Miss. Code Ann. § 75-67-521 Suspending or revoking license; reinstatement; notice to law enforcement.

The commissioner may, after notice and hearing, suspend or revoke a license if he finds that: The licensee, either knowingly, or without the exercise of due care to prevent the same, has violated any provision of this article; Any fact or condition exists which, if it had existed or had been known to exist at the time of the original application for the license, clearly would have justified the commissioner in refusing the license; The licensee has aided, abetted or conspired with an individual or person to circumvent or violate the requirement of this article; The licensee, or a legal or beneficial owner of the license, has been convicted of a felony, or has been convicted of a misdemeanor that the commissioner finds directly relates to the duties and responsibilities of the business of check cashing. The commissioner may conditionally license or place on probation a person whose license has been suspended or may reprimand a licensee for a violation of this article. The manner of giving notice and conducting a hearing as required by subsection (1) of this section shall be performed in accordance with procedures prescribed by the commissioner in rules or regulations adopted under Mississippi Administrative Procedures Law, Section 25-43-1.101 et seq. Any licensee may surrender any license by delivering it to the commissioner with written notice of its surrender, but that surrender shall not affect the licensee’s civil or criminal liability for acts committed prior thereto. The commissioner may reinstate suspended licenses or issue new licenses to a person whose license or licenses have been revoked if no fact or condition then exists which clearly would have justified the commissioner in refusing originally to issue a license under this article. The appropriate local law enforcement agency shall be notified of any licensee who has his license suspended or revoked as provided by this article. The commissioner shall enforce the provisions of this section.

Miss. Code Ann. § 75-67-523 Investigative powers and examinations.

The commissioner, or his duly authorized representative, for the purpose of discovering violations of this article and for the purpose of determining whether persons are subject to the provisions of this article, may examine persons licensed under this article and persons reasonably suspected by the commissioner of conducting business which requires a license under this article, including all relevant books, records and papers employed by those persons in the transaction of their business, and may summon witnesses and examine them under oath concerning matters relating to the business of those persons, or such other matters as may be relevant to the discovery of violations of this article, including without limiting the conduct of business without a license as required under this article.

Miss. Code Ann. § 75-67-525 Engaging in business without license; penalty.

Any person who engages in the business of check cashing without first securing a license prescribed by this article shall be guilty of a misdemeanor and upon conviction thereof, shall be punishable by a fine not in excess of One Thousand Dollars ($1,000.00) or by confinement in the county jail for not more than one (1) year, or both. Any person who engages in the business of check cashing without first securing a license prescribed by this article shall be liable for the full amount of the license fee, plus a penalty in an amount not to exceed Twenty-five Dollars ($25.00) for each day that the person has engaged in the business without a license. All licensing fees and penalties shall be paid into the Consumer Finance Fund of the Department of Banking and Consumer Finance.

Miss. Code Ann. § 75-67-527 Violations; criminal and civil penalties; enforcement; order to refrain; injunctions; bond forfeiture.

Miss. Code Ann. § 75-67-529 Severability.

The provisions of this article are severable. If any part of this article is declared invalid or unconstitutional, that declaration shall not affect the parts which remain.

Miss. Code Ann. § 75-67-531 Application deadline for existing businesses.

Check cashers operating check cashing locations in business as of July 1, 1998, shall have until September 30, 1998, to apply for a license under this article, and upon the approval of the application, the commissioner shall grant a license under this article.

Miss. Code Ann. § 75-67-533 Forms.

The commissioner shall develop and provide any necessary forms to carry out the provisions of this article.

Miss. Code Ann. § 75-67-535 Municipal ordinances.

Miss. Code Ann. § 75-67-537 Commissioner employees and funds authorized for enforcement.

The commissioner may employ the necessary full-time employees above the number of permanent full-time employees authorized for the department for fiscal year 1999, to carry out and enforce the provisions of this article. The commissioner may also expend the necessary funds to equip and provide necessary travel expenses for those employees.

Miss. Code Ann. § 75-67-539 Repealed.

Repealed by Laws of 2013, ch. 408, § 21, eff from and after passage (approved March 20, 2013). § 75-67-539 . [Laws, 1998, ch. 587, § 20; reenacted and amended, Laws, 1999, ch. 481, § 20; Laws, 2001, ch. 534, § 6; Laws, 2003, ch. 341, § 21; Laws, 2007, ch. 488, § 21; Laws, 2011, ch. 309, § 21, eff from and after passage (approved Feb. 24, 2011.)] Editor’s Notes — Former § 75-67-539 was the repealer on the Mississippi Check Cashers Act, codified as Sections 75-67-501 through 75-67-537 .

Miss. Code Ann. § 75-67-601 Short title [Repealed effective July 1, 2022].

This article shall be known and may be cited as the “Mississippi Credit Availability Act.”

Miss. Code Ann. § 75-67-603 Definitions [Repealed effective July 1, 2022].

The following words and phrases used in this article shall have the following meanings unless the context clearly indicates otherwise: “Appropriate law enforcement agency” means the sheriff of each county in which the licensee maintains an office, or the police chief of the municipality in which the licensee maintains an office, or law enforcement officers of the Department of Public Safety. “Attorney General” means the Attorney General of the State of Mississippi. “Commissioner” means the Mississippi Commissioner of Banking and Consumer Finance, or his designee, as the designated official for the purpose of enforcing this article. “Credit availability account” means all credit availability transactions held in the name of a single person through a single licensee or, if a secured transaction and the property is jointly owned, the names of the persons who jointly own the property that is being used as security for the transaction. That person or those persons shall be the “account holder” or “account holders.” “Credit availability transaction” means a transaction whereby a credit availability licensee provides a consumer with a fully amortized loan, secured or unsecured, payable in substantially equal payments due monthly, or on any other schedule mutually agreed upon by the licensee and the consumer, over an overall term of four (4) to twelve (12) months, calculated on the amount initially disbursed to the account holder or holders plus any fees that may be charged in an amount and manner provided for under this article. “Department” means the Department of Banking and Consumer Finance. “Licensee” means any individual, partnership, association or corporation duly licensed by the Department of Banking and Consumer Finance to engage in the business of providing credit availability transactions under this article. “Month” means the calendar month beginning on and including the date of the credit availability transaction. “Person” means an individual, partnership, corporation, joint venture, trust, association or any legal entity, however organized. “Written” and “writing” includes communication of information in an electronic record consistent with the federal Electronic Signatures in Global and National Commerce (E-SIGN) Act, 15 USC Section 7001 et seq.

Miss. Code Ann. § 75-67-605 Licensing requirements [Repealed effective July 1, 2022].

A person may not engage in business as a credit availability licensee or otherwise portray himself as a credit availability licensee unless the person has a valid license authorizing him to engage in the business. Any transaction that would be subject to this article that is made by a person who does not have a valid license under this article shall be null and void. A credit availability licensee shall (a) have a definitive United States postal address and E911 address; and (b) comply with applicable local zoning requirements, except as otherwise provided in this article; and (c) maintain separate books and records for credit availability transactions. The commissioner may issue more than one (1) license to a person if that person complies with this article for each license. A new license is required upon a change, directly or beneficially, in the ownership of any licensed credit availability business and an application shall be made to the commissioner in accordance with this article. When a licensee wishes to move a credit availability business to another physical location, the licensee shall give thirty (30) days’ prior written notice to the commissioner who shall amend the license accordingly. Each license shall remain in full force and effect until relinquished, suspended, revoked or expired. With each initial application for a license, the applicant shall pay the commissioner at the time of making the application a license fee of Seven Hundred Fifty Dollars ($750.00), and on or before September 1 of each year thereafter, an annual renewal fee of Four Hundred Seventy-five Dollars ($475.00). If the annual renewal fee remains unpaid twenty-nine (29) days after September 1, the license shall thereupon expire, but not before the thirtieth day of September of any year for which the annual fee has been paid. If any licensee fails to pay the annual renewal fee before the thirtieth day of September of any year for which the renewal fee is due, then the licensee shall be liable for the full amount of the license fee, plus a penalty in an amount not to exceed Twenty-five Dollars ($25.00) for each day that the licensee has engaged in business after September 30. All licensing fees and penalties shall be paid into the Consumer Finance Fund of the Department of Banking and Consumer Finance. Notwithstanding any other provisions of this article, the commissioner may issue a temporary license authorizing the operation of a credit availability business on the receipt of an application for a license involving principals and owners that are substantially identical to those of an existing licensed credit availability licensee. The temporary license is effective until the permanent license is issued or denied. Notwithstanding other provisions of this article, neither a new license nor an application to transfer an existing license shall be required upon any change, directly or beneficially, in the ownership of any licensed business incorporated under the laws of this state or any other state so long as the licensee continues to operate as a corporation doing a credit availability business under the license. Persons licensed under Sections 75-67-401 et seq. and 75-67-501 et seq. on July 1, 2016, shall have until September 30, 2016, to apply for an expedited license approval under this article. The commissioner, in his discretion, may waive certain documentation already on file under those licenses, including fingerprints, and may promulgate an application that expedites the licensing process. Upon the approval of the application, the commissioner shall grant a license under this article.

Miss. Code Ann. § 75-67-607 Exemptions [Repealed effective July 1, 2022].

The provisions of this article shall not apply to any bank, trust company, savings association, savings and loan association, savings bank or credit union that is chartered under the laws of this state or under federal law and domiciled in this state.

Miss. Code Ann. § 75-67-609 Applicant eligibility requirements [Repealed effective July 1, 2022].

To be eligible for a credit availability license, an applicant shall: Operate lawfully and fairly within the purposes of this article. Not have been convicted in the last ten (10) years or be active as a beneficial owner for someone who has been convicted in the last ten (10) years of a crime that the commissioner finds directly relates to the duties and responsibilities of the business of offering credit availability transactions. File with the commissioner a bond with good security in the penal sum of Ten Thousand Dollars ($10,000.00), payable to the State of Mississippi, for the faithful performance by the licensee of the duties and obligations pertaining to the business so licensed and the prompt payment of any judgment which may be recovered against the licensee on account of charges or other claims arising directly or collectively from any violation of the provisions of this article. The bond shall not be valid until the commissioner approves it. The applicant may file, in lieu of the bond, cash, a certificate of deposit or government bonds in the amount of Ten Thousand Dollars ($10,000.00). Those deposits shall be filed with the commissioner and are subject to the same terms and conditions as are provided for in the surety bond required in this paragraph. Any interest or earnings on those deposits are payable to the depositor. Applicants applying for multiple licenses may submit a single bond for all licenses, provided that the total value of the bond is equal to Ten Thousand Dollars ($10,000.00) per license applied for. File with the commissioner an application for a license and the initial license fee required in this article. If applicant’s application is approved, a credit availability license will be issued within thirty (30) days. File with the commissioner a set of fingerprints from any local law enforcement agency for each owner of a sole proprietorship, partners in a partnership or principal owners of a limited liability company that own at least ten percent (10%) of the voting shares of the company, shareholders owning ten percent (10%) or more of the outstanding shares of the corporation, except publically traded corporations and their subsidiaries, and any other executive officer with significant oversight duties of the business. In order to determine the applicant’s suitability for license, the commissioner shall forward the fingerprints to the Department of Public Safety; and if no disqualifying record is identified at the state level, the Department of Public Safety shall forward the fingerprints to the FBI for a national criminal history record check. Complete and file with the commissioner an annual renewal application for a license accompanied by the renewal fee required in this article.

Miss. Code Ann. § 75-67-611 Application form [Repealed effective July 1, 2022].

Each application for a license shall be in a form prescribed by the commissioner, signed under oath or otherwise authenticated in a record, and shall include the following: The legal name, residence and business address of the applicant and, if the applicant is a partnership, association or corporation, of every member, officer and director thereof. However, the application need not state the full name and address of each shareholder, if the applicant is owned directly or beneficially by a person which as an issuer has a class of securities registered under Section 12 of the Securities and Exchange Act of 1934 or is an issuer of securities which is required to file reports with the Securities and Exchange Commission under Section 15(d) of the Securities and Exchange Act, provided that the person files with the commissioner such information, documents and reports as are required by the provisions of the Securities and Exchange Act to be filed by the issuer with the Securities and Exchange Commission. The commissioner may, however, require the licensee to provide such information as he deems reasonable and appropriate concerning the officers and directors of the corporation and persons owning in excess of twenty-five percent (25%) of the outstanding shares of the corporation. The complete address of the location at which the applicant proposes to engage in the business of offering credit availability transactions. Other data and information the department may require with respect to the applicant, its directors, trustees, officers, members or agents. Sworn financial statements of the applicant showing a net worth of at least Twenty Thousand Dollars ($20,000.00) for the first license. The applicant shall possess and maintain a net worth of at least Twenty Thousand Dollars ($20,000.00) for the first license and at least Five Thousand Dollars ($5,000.00) for each additional license.

Miss. Code Ann. § 75-67-613 Investigations, findings and posting of licenses [Repealed effective July 1, 2022].

Upon filing of an application in a form prescribed by the commissioner, accompanied by the documents required in this article, the department shall investigate to ascertain whether the qualifications prescribed in this article have been satisfied. If the commissioner finds that the qualifications have been satisfied and, if he approves the documents so filed by the applicant, he shall issue to the applicant a license to engage in the credit availability business in this state. The license shall be kept conspicuously posted in the place of business of the licensee.

Miss. Code Ann. § 75-67-615 Licensee duties; regulations; examinations of books and records [Repealed effective July 1, 2022].

The department may adopt reasonable administrative regulations, not inconsistent with law, for the enforcement of this article and shall develop and provide any necessary forms or other documentation to carry out the provisions of this article. To assure compliance with the provisions of this article, the department may examine the books and records of any licensee without notice during normal business hours. The commissioner may charge the licensee an examination fee in an amount not less than Three Hundred Dollars ($300.00) nor more than Six Hundred Dollars ($600.00) for each office or location within the State of Mississippi plus any actual expenses incurred while examining the licensee’s records or books that are located outside the State of Mississippi. However, in no event shall a licensee be examined more than once in a two-year period unless for cause shown based upon a consumer complaint and/or other exigent reasons as determined by the commissioner. Each licensee shall keep and use in its business any books, accounts and records the department may require to carry into effect the provisions of this article and the administrative regulations issued under this article. Every licensee shall preserve the books, accounts and records of its business for at least two (2) years.

Miss. Code Ann. § 75-67-617 Advertising, displaying or publishing false or misleading statements prohibited [Repealed effective July 1, 2022].

Miss. Code Ann. § 75-67-619 Fees and charges; method of computation [Repealed effective July 1, 2022].

Notwithstanding any other statutory limitation, a licensee authorized to provide credit availability transactions under this article may charge and collect fees and charges in a manner consistent with this section, and may take as security therefor any personal property that is not exempt or prohibited by state or federal law or regulations. A licensee may charge and collect a monthly handling fee for services, expenses, and costs not to exceed twenty-five percent (25%) of the outstanding principal balance of any credit availability account per month, or any portion thereof, for transactions of Five Hundred Dollars ($500.00) or less. The handling fee shall not be deemed interest for any purpose of law. A licensee may charge and collect a monthly handling fee for services, expenses, and costs not to exceed twenty-five percent (25%) of the outstanding principal balance of any credit availability account per month, or portion thereof, for transactions in excess of Five Hundred Dollars ($500.00). The handling fee shall not be deemed interest for any purpose of law. In addition to the charges authorized under this subsection (2), a licensee may also charge and collect an origination fee in the amount of one percent (1%) of the amount disbursed to the account holder or Five Dollars ($5.00), whichever is greater, for costs associated with providing a credit availability transaction. The origination fee shall not be deemed interest for any purpose of law. No credit availability account created under subsection (2)(a) of this section shall have an outstanding principal balance in excess of Five Hundred Dollars ($500.00) at any time. No credit availability account created under subsection (2)(b) of this section shall have an outstanding principal balance in excess of Two Thousand Five Hundred Dollars ($2,500.00) at any time. Any credit availability account created under subsection (2)(a) of this section shall be a fully amortized loan, secured or unsecured, payable in equal payments of four (4) to six (6) months calculated on the amount initially disbursed to the account holder plus any fees that may be charged, in an amount and manner provided for under this article. Any credit availability account created under subsection (2)(b) of this section shall be a fully amortized loan, secured or unsecured, payable in equal payments of six (6) to twelve (12) months calculated on the amount initially disbursed to the account holder plus any fees that may be charged, in an amount and manner provided for under this article. In the event an account holder is delinquent in payment of a monthly payment under the terms of a credit availability agreement, the licensee may charge and collect from the account holder a late fee of ten percent (10%) of the past-due amount; provided, however, that no such late fee may be charged unless an account holder has failed to pay the past-due amount within ten (10) business days after the due date and provided that such fees are clearly disclosed in the credit availability agreement. In the event an account holder is in default under the terms of a credit availability agreement for more than sixty (60) days, the licensee may charge and collect from the account holder the following fees in connection with any such default, provided that such fees are clearly disclosed in the credit availability agreement: If the licensee is required to employ a third party, including an attorney, to collect on the account the licensee may: If the credit availability agreement so provides, charge and collect a reasonable collection fee and attorney’s fee; and If the credit availability agreement so provides, shall be entitled to recover from the account holder all court costs incurred and to recover any court-awarded damages, including those incurred on appeal. If applicable, the licensee may charge and collect from the account holder any fees and costs relating to the repossession and sale of collateral, including, but not limited to, fees and costs associated with the repossession, storage, preparation for sale and sale of collateral.

Miss. Code Ann. § 75-67-621 Licensee to provide account holder with a written explanation of fees and charges [Repealed effective July 1, 2022].

A licensee shall provide each prospective account holder, before consummation of a credit availability transaction, a written explanation of the fees, and charges to be charged by the licensee and the due dates for all payments. The style, content, and method of executing the required written explanation shall comply with federal truth-in-lending laws and shall contain a statement that the account holder may prepay the unpaid balance in whole or in part at any time. The commissioner may promulgate rules in accordance with this article in order to assure complete and accurate disclosure of the fees and charges to be charged by a licensee under a credit availability agreement. At a minimum, the written explanation must include: The amount of the transaction; The date the agreement was entered into; A schedule or description of the payments; The name and address of the licensed office; The name of the person primarily obligated on the agreement; The amount of the principal; The agreed rate of charge stated on a percent per year basis and the amount in dollars and cents; All other disclosures required pursuant to state and federal law. The contract for any credit availability agreement shall include, along with other state or federal law requirements, the right for an account holder to rescind the transaction within one (1) business day; provided, however, that if the account holder accepts funds from the credit availability licensee prior to the expiration of the one-day rescission period, any origination fee charged shall be nonrefundable. A licensee with a physical location in this state shall display in its consumer waiting area, and shall provide a copy to any account holder that requests it, a pamphlet prepared by the department that describes general information about the transaction and about the account holder’s rights and responsibilities in the transaction, including the rates and fees charged by the licensee, the licensee’s rights in event of default by the consumer, the maximum allowable account balance, and the consumer hotline telephone number to the Mississippi Department of Banking and Consumer Finance. The licensee shall add the account information and/or complaint hotline telephone number of the licensee to the pamphlet. A licensee without a physical location in this state shall make the information available on its website.

Miss. Code Ann. § 75-67-623 Suspending or revoking license; reinstatement; notice to law enforcement [Repealed effective July 1, 2022].

The commissioner may, after notice and hearing, suspend or revoke a license if he finds that: The licensee, either knowingly, or without the exercise of due care to prevent the same, has violated any provision of this article; Any fact or condition exists which, if it had existed or had been known to exist at the time of the original application for the license, clearly would have justified the commissioner in refusing the license; The licensee has aided, abetted or conspired with an individual or person to circumvent or violate the requirement of this article; The licensee, or a legal or beneficial owner of the license, has been convicted of a crime that the commissioner finds directly relates to the duties and responsibilities of the business of offering credit availability transactions. The commissioner may conditionally license or place on probation a person whose license has been suspended or may reprimand a licensee for a violation of this article. The manner of giving notice and conducting a hearing as required by subsection (1) of this section shall be performed in accordance with procedures prescribed by the commissioner in rules or regulations adopted under the Mississippi Administrative Procedures Law, Section 25-43-1 et seq. Any licensee may surrender any license by delivering it to the commissioner with written notice of its surrender, but that surrender shall not affect the licensee’s civil or criminal liability for acts committed prior thereto. The commissioner may reinstate suspended licenses or issue new licenses to a person whose licenses have been revoked if no fact or condition then exists which clearly would have justified the commissioner in refusing originally to issue a license under this article. The appropriate local law enforcement agency shall be notified of any licensee who has his license suspended or revoked as provided by this article. The commissioner shall enforce the provisions of this section. No revocation, suspension or surrender of any license shall impair or affect the obligation of any pre-existing lawful contract between the licensee and any debtor.

Miss. Code Ann. § 75-67-625 Investigative powers and examinations [Repealed effective July 1, 2022].

The commissioner, or his duly authorized representative, for the purpose of discovering violations of this article and for the purpose of determining whether persons are subject to the provisions of this article, may examine persons licensed under this article and persons reasonably suspected by the commissioner of conducting business which requires a license under this article, including all relevant books, records and papers employed by those persons in the transaction of their business, and may summon witnesses and examine them under oath concerning matters relating to the business of those persons, or such other matters as may be relevant to the discovery of violations of this article, including without limitation the conduct of business without a license as required under this article.

Miss. Code Ann. § 75-67-627 Engaging in business without license; penalty [Repealed effective July 1, 2022].

Any person who engages in the business of offering credit availability transactions without first securing a license prescribed by this article shall be guilty of a misdemeanor and upon conviction thereof, shall be punishable by a fine not to exceed One Thousand Dollars ($1,000.00) or by confinement in the county jail for not more than one (1) year, or both. Any person who engages in the business of offering credit availability transactions without first securing a license prescribed by this article shall be liable for the full amount of the license fee, plus a penalty in an amount not to exceed Twenty-five Dollars ($25.00) for each day that the person engaged in the business without a license. All licensing fees and penalties shall be paid into the Consumer Finance Fund of the Department of Banking and Consumer Finance.

Miss. Code Ann. § 75-67-629 Violations; criminal and civil penalties; enforcement; order to refrain; injunctions; bond forfeiture [Repealed effective July 1, 2022].

Miss. Code Ann. § 75-67-631 Severability.

The provisions of this article are severable. If any part of this article is declared invalid or unconstitutional, that declaration shall not affect the parts that remain.

Miss. Code Ann. § 75-67-633 Municipal ordinances [Repealed effective July 1, 2022].

Municipalities of this state may enact ordinances that are in compliance with, but not more restrictive than, the provisions of this article. Any existing or future order, ordinance or regulation that conflicts with this provision shall be null and void. Notwithstanding any existing zoning ordinance, any person or entity conducting business under a valid license issued by the department pursuant to Section 75-67-401 et seq. or Section 75-67-501 et seq., as of July 1, 2016, that elects to secure a license under this article may not be restricted from continuing operations under this article in the same location, regardless of whether the licensee elects to continue, if permitted by law, or to terminate its previous license.

Miss. Code Ann. § 75-67-635 Commissioner employees and funds authorized for enforcement [Repealed effective July 1, 2022].

The commissioner may employ the necessary full-time employees above the number of permanent full-time employees authorized for the department for fiscal year 2016 to carry out and enforce the provisions of this article. The commissioner may also expend the necessary funds to equip and provide necessary travel expenses for those employees.

Miss. Code Ann. § 75-67-637 Liability of licensees [Repealed effective July 1, 2022].

Miss. Code Ann. § 75-67-639 Repeal of Sections 75-67-601 through 75-67-639, and Sections 75-67-403 and 75-67-505 [Repealed effective July 1, 2022].

Sections 75-67-601 through 75-67-639, and Sections 75-67-403 and 75-67-505, shall stand repealed on July 1, 2022.