This bill passed the Legislature and reached final enactment based on the latest official action.
Sponsor
Senators Jennings , Salling , and Bailey
Last action
2026-04-28
Official status
Approved by the Governor - Chapter 316
Effective date
2026-10-01
Plain English Breakdown
Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.
Consumer Protection - Unsolicited Loans
Prohibiting a person from sending a check or other negotiable instrument to an individual under certain circumstances; establishing that an individual who receives a check or other negotiable instrument is not liable for the amount of the check or negotiable instrument under certain circumstances; and providing that a person who violates the Act is guilty of a misdemeanor and on conviction is subject to a fine not to exceed $500.
What This Bill Does
Prohibiting a person from sending a check or other negotiable instrument to an individual under certain circumstances; establishing that an individual who receives a check or other negotiable instrument is not liable for the amount of the check or negotiable instrument under certain circumstances; and providing that a person who violates the Act is guilty of a misdemeanor and on conviction is subject to a fine not to exceed $500.
Limits and Unknowns
This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.
Amendments
These notes stay tied to the official amendment files and metadata from the legislature.
Plain English: AMENDMENTS TO SENATE BILL 582
(Third Reading File Bill)
On page 2, in line 1, strike the second “A” and substitute “TO AN INDIVIDUAL:
(1) A”;
in the same line, strike “ TO AN INDIVIDUAL”; in line 3, after “ INDIVIDUAL” insert “;
OR
(2) A PRESCREENED FIRM OFF ER OF UNSECURED CRED IT
SUBJECT TO REGULATION UNDER THE FEDERAL FAIR CREDIT REPORTING ACT”;
in line 7, after “EXTEND” insert “SECURED”; and in line 9, after “OF” insert “SECURED”.
AMENDMENTS TO SENATE BILL 582
(Third Reading File Bill)
On page 2, in line 1, strike the second “A” and substitute “TO AN INDIVIDUAL:
(1) A”;
in the same line, strike “ TO AN INDIVIDUAL”; in line 3, after “ INDIVIDUAL” insert “;
OR
(2) A PRESCREENED FIRM OFF ER OF UNSECURED CRED IT
SUBJECT TO REGULATION UNDER THE FEDERAL FAIR CREDIT REPORTING ACT”;
in line 7, after “EXTEND” insert “SECURED”; and in line 9, after “OF” insert “SECURED”.
Plain English: AMENDMENTS TO SENATE BILL 582
(First Reading File Bill)
AMENDMENT NO.
AMENDMENTS TO SENATE BILL 582
(First Reading File Bill)
AMENDMENT NO.
1
On page 1, in line 3, strike “creditor” and substitute “person”.
AMENDMENT NO.
2
On page 1, strike beginning with “ IN” in line 17 down through “PURPOSES” in
line 19 and substitute “THIS SECTION DOES NOT APPLY TO A PERSON THAT SENDS
A CONVENIENCE CHECK TO AN INDIVIDUAL FOR TH E SOLE PURPOSE OF
ACCESSING AN EXISTIN G CREDIT LINE OF THE INDIVIDUAL ”; in line 20, strike
“CREDITOR” and substitute “PERSON”; in line 22, after “(1)” insert “(I)”.
Bill History
2026-04-28Post Passage
Approved by the Governor - Chapter 316
2026-04-08House
Favorable with Amendments Report by Economic Matters
2026-03-25House
Third Reading Passed (136-0)
2026-03-24Senate
Senate Concurs House Amendments
2026-03-24Senate
Third Reading Passed (42-0)
2026-03-24Senate
Passed Enrolled
2026-03-23House
Hearing canceled
2026-03-23House
Hearing 3/26 at 2:30 p.m.
2026-03-21House
Hearing 3/26 at 1:00 p.m.
2026-03-21House
Favorable with Amendments { 573927/1 Adopted
2026-03-21House
Second Reading Passed with Amendments
2026-03-16Senate
Favorable with Amendments Report by Finance
2026-03-07House
Referred Economic Matters
2026-03-03Senate
Third Reading Passed (45-0)
2026-03-01Senate
Favorable with Amendments { 583026/1 Adopted
2026-03-01Senate
Second Reading Passed with Amendments
2026-02-04Senate
First Reading Finance
2026-02-04Senate
Hearing 2/19 at 1:00 p.m.
Maryland General Assembly
Text - First - Consumer Protection - Unsolicited Loans
Maryland General Assembly
Vote - Senate - Committee - Finance
Maryland General Assembly
Text - Third - Consumer Protection - Unsolicited Loans
Maryland General Assembly
Vote - House - Committee - Economic Matters
Maryland General Assembly
Text - Enrolled - Consumer Protection - Unsolicited Loans
Maryland General Assembly
Text - Chapter - Consumer Protection - Unsolicited Loans
Official Summary Text
Prohibiting a person from sending a check or other negotiable instrument to an individual under certain circumstances; establishing that an individual who receives a check or other negotiable instrument is not liable for the amount of the check or negotiable instrument under certain circumstances; and providing that a person who violates the Act is guilty of a misdemeanor and on conviction is subject to a fine not to exceed $500.
Current Bill Text
Read the full stored bill text
EXPLANATION: CAPITALS INDICATE MATTER ADDED TO EXISTING LAW.
[Brackets] indicate matter deleted from existing law.
Underlining indicates amendments to bill.
Strike out indicates matter stricken from the bill by amendment or deleted from the law by
amendment.
Italics indicate opposite chamber/conference committee amendments.
*sb0582*
SENATE BILL 582
I3 (6lr2591)
ENROLLED BILL
— Finance/Economic Matters —
Introduced by Senators Jennings, Salling, and Bailey
Read and Examined by Proofreaders:
_______________________________________________
Proofreader.
_______________________________________________
Proofreader.
Sealed with the Great Seal and presented to the Governor, for his approval this
_______ day of _______________ at _________________ _______ o’clock, ________M.
______________________________________________
President.
CHAPTER ______
AN ACT concerning 1
Consumer Protection – Unsolicited Loans 2
FOR the purpose of prohibiting a creditor person from sending a check or other negotiable 3
instrument to an individual under certain circumstances; establishing that an 4
individual who receives a check or other negotiable instrument is not liable for the 5
amount of the check or negotiable instrument under certain circumstances; and 6
generally relating to extensions of consumer credit. 7
BY adding to 8
Article – Commercial Law 9
Section 14–1330 10
Annotated Code of Maryland 11
(2025 Replacement Volume) 12
2 SENATE BILL 582
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND , 1
That the Laws of Maryland read as follows: 2
Article – Commercial Law 3
14–1330. 4
(A) IN THIS SECTION , “CREDITOR” MEANS A PERSON THAT ENGAGES IN 5
WHOLE OR IN PART IN THE BUSINESS OF MAKING LOANS OR OTHER EXTENSIONS OF 6
CREDIT FOR PERSONAL , FAMILY, OR HOUSEHOLD PURPOSES THIS SECTION DOES 7
NOT APPLY TO A PERSON THAT SENDS A TO AN INDIVIDUAL: 8
(1) A CONVENIENCE CHECK TO AN INDIVIDUAL FOR THE SOLE 9
PURPOSE OF ACCESSING AN EXISTING CREDIT LINE OF THE INDIVIDUAL; OR 10
(2) A PRESCREENED FIRM OFFER OF UNSECURED CREDIT SUBJECT TO 11
REGULATION UNDER THE FEDERAL FAIR CREDIT REPORTING ACT. 12
(B) A CREDITOR PERSON MAY NOT SEND A CHECK OR OTHER NEGOTIABLE 13
INSTRUMENT TO AN INDIVIDUAL IF: 14
(1) (I) THE CHECK OR OTHER NE GOTIABLE INSTRUMENT IS SENT 15
IN CONNECTION WITH AN OFFER TO EXTEND SECURED CREDIT TO THE INDIVIDUAL; 16
AND 17
(2) (II) THE INDIVIDUAL HAS NO T SUBMITTED AN APPLI CATION 18
FOR OR OTHERWISE REQ UESTED THE EXTENSION OF SECURED CREDIT BEFORE 19
RECEIVING THE CHECK OR OTHER NEGOTIABLE INSTRUMENT; OR 20
(2) THE CHECK OR OTHER NE GOTIABLE INSTRUMENT IS SENT AS 21
PART OF AN UNSOLICITED OFFER TO PURCHASE REAL PROPERTY. 22
(C) AN INDIVIDUAL WHO IS SENT A CHECK OR OTHE R NEGOTIABLE 23
INSTRUMENT IN VIOLAT ION OF SUBS ECTION (B) OF THIS SECTION IS N OT LIABLE 24
FOR THE AMOUNT OF THE CHECK OR OTHER NEGOTIABLE INSTRUMENT UNLESS THE 25
INDIVIDUAL ACTUALLY RECEIVES AND NEGOTIA TES THE CHECK OR OTH ER 26
NEGOTIABLE INSTRUMENT. 27
(D) A CREDITOR PERSON THAT VIOLATES THIS S ECTION IS GUILTY OF A 28
MISDEMEANOR AND ON CONVICTION SUBJECT TO A FINE NOT EXCEEDING $500. 29
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 30
October 1, 2026. 31