Post-dated checks.

WORKING DRAFT

ORIGINAL HOUSE
BILL

NO.
0088

ENROLLED ACT NO. 47, HOUSE OF REPRESENTATIVES

SIXTY-SECOND LEGISLATURE OF THE STATE OF WYOMING
2014 BUDGET SESSION

AN ACT relating to the Uniform Consumer Credit Code;
authorizing extended payment plans to repay post-dated check obligations; providing for rescission of post-dated check and similar arrangements; providing for notification relating to payday check cashing laws;
renumbering existing provision;
and providing for an effective date.

Be It Enacted by the Legislature of the State of Wyoming:

Section 1.

W.S. 40
‑
14
‑
36
5 through 40
‑
14
‑
367 are
created to read:

40
‑
14
‑
36
5
.

Right to
r
escind.

(a)

A post-dated check or similar arrangement with a post-dated check casher may be rescinded
by the
consumer

on or before 5:00 p.m. Mountain

Time of the following business day, provided that the
consumer
returns to the post-dated check casher
in
cash or certified funds the full original amount of funds advanced.
A rescission under this section shall be at no cost to the
consumer
.

(b)

Information regarding how to exercise the right to rescind shall be provided in writing to the consumer at the consummation of every post-dated check or similar arrangement.

40
‑
14
‑
36
6
.

Extended
p
ayment
p
lan
; terms and conditions
.

(
a)

Subject to the terms and conditions of this section, a
consumer
who is unable to repay a post-dated check
or similar arrangement
when due may elect once every twelve (12) months to repay the post-dated check
or similar arrangement
by means of an extended payment plan. The
twelve (12) month period
shall be
measured from the date the
consumer
pays in full one extended payment plan with the post-dated check casher until the date that the
consumer
enters into another extended payment plan with the post-dated check casher.

(b)

To request an extended payment plan, the
consumer
, before 5
:00 p.m.
Mountain

Time on
the
last business day before the due date of the outstanding post-dated check
or similar arrangement
,
shall
request the plan and sign an amendment to the
original
agreement
which
memorializes the plan
'
s terms.

(c)

The extended payment plan
'
s terms
shall
allow the
consumer

to repay the outstanding post-dated check
or similar arrangement
including any fee due in at least four
(4)
substantially equal installments and over a time period
of
at least
sixty (
60
)
days. Each plan installment
shall
be due on or after a date on which the
consumer
receives regular income
,
or if
the consumer has
no regular income due dates
shall
be a minimum of two
(2)
weeks between installments. The
consumer
may prepay an extended payment plan in full at any time without penalty. As long as the
consumer
complies with the terms of the extended payment plan, the
plan shall be at no additional cost to the
consumer
and the
post-dated check casher shall not charge the
consumer
any interest or additional fees during the term of the extended payment plan. The post-dated check casher may, with each payment under the plan by a
consumer
, provide for the return of the
consumer
'
s
prior held check and require a new check for the remaining balance under the plan.

(
d)

If the
consumer
fails to pay any extended payment plan installment when due, the
consumer
shall be in default of the payment plan and the post-dated check casher
immediately may accelerate payment on the remaining balance and take action to collect all amounts due. Upon default, notwithstanding
W.S.
40
‑
14
‑
363
(a)
, the post-dated check casher may charge the
consumer
interest on the outstanding balance at an annual rate equal to six percent (6%) plus the prime rate as listed in the Wall Street Journal on January 1 of the year in which the
consumer
defaults.

40
‑
14
‑
36
7
.

Notification.

(a)

A post-dated check casher shall provide the following written notice with each post-dated check or similar arrangement and obtain the signature of the consumer
at least annually
indicating receipt of the notice:

NOTICE

1
.

STATE LAW PROHIBITS A POST-DATED CHECK OR SIMILAR ARRANGEMENT FROM BEING REPAID, REFINANCED OR OTHERWISE CONSOLIDATED BY PROCEEDS OF ANOTHER POST-DATED CHECK OR SIMILAR ARRANGEMENT ACCEPTED BY THE SAME POST-DATED CHECK CASHER.

2.

POST-DATED CHECK
ADVANCES SHOULD BE USED FOR SHORT-TERM FINANCIAL NEEDS ONLY, NOT AS A LONG-TERM FINANCIAL SOLUTION. CUSTOMERS WITH CREDIT DIFFICULTIES SHOULD SEEK CREDIT COUNSELING.

Section 2.

W.S. 40
‑
14
‑
362(a)(intro)
and 40-14-363(b) are

amended to read:

40
‑
14
‑
362.

Definitions.

(a)

As used in W.S. 40
‑
14
‑
362 through
40
‑
14
‑
364

40
‑
14
‑
36
7
:

40
‑
14
‑
363.

License required; post-dated check finance charge; limits on amount financed and terms; minimum finance charge.

(b)

The maximum term of any post-dated check or similar arrangement subject to this part shall be one (1) calendar month.
Extended payment plans under W.S. 40
‑
14
‑
366 are not subject to this subsection.

Section 3.

W.S. 40
‑
14
‑
365 is renumbered as 40
‑
14
‑
36
8
.

Section
4
.

This act is effective July 1, 2014.

(E
ND)

Speaker of the House

President of the Senate

Governor

TIME APPROVED: _________

DATE APPROVED: _________

I hereby certify that this act originated in the House.

Chief Clerk

1