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(127th General Assembly)
(Substitute House Bill Number 545)
AN ACT
To amend sections 109.572, 135.63, 1181.05, 1181.21,
1181.25, 1315.99,
1321.02, 1321.15, 1321.21,
1321.99, 1345.01,
1349.71, 1349.72,
1733.25, and
2307.61, to
enact
sections 121.085,
135.68,
135.69, 135.70,
1321.35, 1321.36,
1321.37,
1321.38, 1321.39,
1321.40, 1321.41,
1321.42,
1321.421, 1321.422, 1321.43, 1321.44,
1321.45,
1321.46, 1321.461,
1321.47, and
1321.48, and to
repeal sections
1315.35, 1315.36, 1315.37,
1315.38, 1315.39,
1315.40, 1315.41, 1315.42,
1315.43, and 1315.44
of the Revised Code to
repeal the
Check-Cashing
Lender Law, to
establish the Short-Term Lender
Law, to create a
short-term
installment loan linked deposit
program, to further restrict the making of
multiple loans under the Small Loan Law, to
expand
the responsibilities of
the
Consumer
Finance
Education Board, and to make other
related changes.
Be it enacted by the General Assembly of the State of Ohio:
SECTION 1. That sections 109.572, 135.63,
1181.05, 1181.21,
1181.25,
1315.99, 1321.02, 1321.15, 1321.21,
1321.99,
1345.01,
1349.71, 1349.72, 1733.25, and 2307.61
be amended, and
sections
121.085,
135.68, 135.69, 135.70,
1321.35, 1321.36,
1321.37,
1321.38, 1321.39, 1321.40, 1321.41,
1321.42, 1321.421, 1321.422,
1321.43,
1321.44, 1321.45, 1321.46, 1321.461, 1321.47, and
1321.48
of the
Revised
Code be
enacted
to read as
follows:
Sec. 109.572. (A)(1) Upon receipt of a request pursuant to
section 121.08, 3301.32, 3301.541, 3319.39, 5104.012, or 5104.013
of the Revised Code, a completed form prescribed pursuant to
division (C)(1) of this section, and a set of fingerprint
impressions obtained in the manner described in division (C)(2) of
this section, the superintendent of the bureau of criminal
identification and investigation shall conduct a criminal records
check in the manner described in division (B) of this section to
determine whether any information exists that indicates that the
person who is the subject of the request previously has been
convicted of or pleaded guilty to any of the following:
(a) A violation of section 2903.01, 2903.02, 2903.03,
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34,
2905.01, 2905.02, 2905.05, 2907.02, 2907.03, 2907.04, 2907.05,
2907.06, 2907.07, 2907.08, 2907.09, 2907.21, 2907.22, 2907.23,
2907.25, 2907.31, 2907.32, 2907.321, 2907.322, 2907.323, 2911.01,
2911.02, 2911.11, 2911.12, 2919.12, 2919.22, 2919.24, 2919.25,
2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 2925.04, 2925.05,
2925.06, or 3716.11 of the Revised Code, felonious sexual
penetration in violation of former section 2907.12 of the Revised
Code, a violation of section 2905.04 of the Revised Code as it
existed prior to July 1, 1996, a violation of section 2919.23 of
the Revised Code that would have been a violation of section
2905.04 of the Revised Code as it existed prior to July 1, 1996,
had the violation been committed prior to that date, or a
violation of section 2925.11 of the Revised Code that is not a
minor drug possession offense;
(b) A violation of an existing or former law of this state,
any other state, or the United States that is substantially
equivalent to any of the offenses listed in division (A)(1)(a) of
this section.
(2) On receipt of a request pursuant to section 5123.081 of
the Revised Code with respect to an applicant for employment in
any position with the department of mental retardation and
developmental disabilities, pursuant to section 5126.28 of the
Revised Code with respect to an applicant for employment in any
position with a county board of mental retardation and
developmental disabilities, or pursuant to section 5126.281 of the
Revised Code with respect to an applicant for employment in a
direct services position with an entity contracting with a county
board for employment, a completed form prescribed pursuant to
division (C)(1) of this section, and a set of fingerprint
impressions obtained in the manner described in division (C)(2) of
this section, the superintendent of the bureau of criminal
identification and investigation shall conduct a criminal records
check. The superintendent shall conduct the criminal records check
in the manner described in division (B) of this section to
determine whether any information exists that indicates that the
person who is the subject of the request has been convicted of or
pleaded guilty to any of the following:
(a) A violation of section 2903.01, 2903.02, 2903.03,
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34,
2903.341, 2905.01, 2905.02, 2905.04, 2905.05, 2907.02, 2907.03,
2907.04, 2907.05, 2907.06, 2907.07, 2907.08, 2907.09, 2907.12,
2907.21, 2907.22, 2907.23, 2907.25, 2907.31, 2907.32, 2907.321,
2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 2911.12, 2919.12,
2919.22, 2919.24, 2919.25, 2923.12, 2923.13, 2923.161, 2925.02,
2925.03, or 3716.11 of the Revised Code;
(b) An existing or former municipal ordinance or law of this
state, any other state, or the United States that is substantially
equivalent to any of the offenses listed in division (A)(2)(a) of
this section.
(3) On receipt of a request pursuant to section 173.27,
173.394, 3712.09, 3721.121, or 3722.151 of the Revised Code, a
completed form prescribed pursuant to division (C)(1) of this
section, and a set of fingerprint impressions obtained in the
manner described in division (C)(2) of this section, the
superintendent of the bureau of criminal identification and
investigation shall conduct a criminal records check with respect
to any person who has applied for employment in a position for
which a criminal records check is required by those sections. The
superintendent shall conduct the criminal records check in the
manner described in division (B) of this section to determine
whether any information exists that indicates that the person who
is the subject of the request previously has been convicted of or
pleaded guilty to any of the following:
(a) A violation of section 2903.01, 2903.02, 2903.03,
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34,
2905.01, 2905.02, 2905.11, 2905.12, 2907.02, 2907.03, 2907.05,
2907.06, 2907.07, 2907.08, 2907.09, 2907.12, 2907.25, 2907.31,
2907.32, 2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11,
2911.12, 2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21,
2913.31, 2913.40, 2913.43, 2913.47, 2913.51, 2919.25, 2921.36,
2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 2925.11, 2925.13,
2925.22, 2925.23, or 3716.11 of the Revised Code;
(b) An existing or former law of this state, any other state,
or the United States that is substantially equivalent to any of
the offenses listed in division (A)(3)(a) of this section.
(4) On receipt of a request pursuant to section 3701.881 of
the Revised Code with respect to an applicant for employment with
a home health agency as a person responsible for the care,
custody, or control of a child, a completed form prescribed
pursuant to division (C)(1) of this section, and a set of
fingerprint impressions obtained in the manner described in
division (C)(2) of this section, the superintendent of the bureau
of criminal identification and investigation shall conduct a
criminal records check. The superintendent shall conduct the
criminal records check in the manner described in division (B) of
this section to determine whether any information exists that
indicates that the person who is the subject of the request
previously has been convicted of or pleaded guilty to any of the
following:
(a) A violation of section 2903.01, 2903.02, 2903.03,
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34,
2905.01, 2905.02, 2905.04, 2905.05, 2907.02, 2907.03, 2907.04,
2907.05, 2907.06, 2907.07, 2907.08, 2907.09, 2907.12, 2907.21,
2907.22, 2907.23, 2907.25, 2907.31, 2907.32, 2907.321, 2907.322,
2907.323, 2911.01, 2911.02, 2911.11, 2911.12, 2919.12, 2919.22,
2919.24, 2919.25, 2923.12, 2923.13, 2923.161, 2925.02, 2925.03,
2925.04, 2925.05, 2925.06, or 3716.11 of the Revised Code or a
violation of section 2925.11 of the Revised Code that is not a
minor drug possession offense;
(b) An existing or former law of this state, any other state,
or the United States that is substantially equivalent to any of
the offenses listed in division (A)(4)(a) of this section.
(5) On receipt of a request pursuant to section 5111.032,
5111.033, or 5111.034 of the Revised Code, a completed form
prescribed pursuant
to division (C)(1) of this section, and a set
of fingerprint
impressions obtained in the manner described in
division (C)(2) of
this section, the superintendent of the bureau
of criminal
identification and investigation shall conduct a
criminal records
check. The superintendent shall conduct the
criminal records check
in the manner described in division (B) of
this
section to
determine whether any information
exists that
indicates that the
person who is the subject of the request
previously has been
convicted of, has pleaded guilty to, or has
been found eligible
for intervention in lieu of conviction for
any of
the following:
(a) A violation of section 2903.01, 2903.02, 2903.03,
2903.04,
2903.041, 2903.11, 2903.12, 2903.13, 2903.16,
2903.21,
2903.34, 2905.01, 2905.02, 2905.05, 2905.11, 2905.12, 2907.02,
2907.03, 2907.04, 2907.05, 2907.06, 2907.07, 2907.08, 2907.09,
2907.21, 2907.22, 2907.23, 2907.24, 2907.25, 2907.31, 2907.32,
2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 2911.12,
2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 2913.31,
2913.40, 2913.43, 2913.47, 2913.48, 2913.49, 2913.51, 2917.11,
2919.12, 2919.22, 2919.24, 2919.25, 2921.13, 2921.36, 2923.02,
2923.12, 2923.13, 2923.161, 2923.32, 2925.02, 2925.03, 2925.04,
2925.05, 2925.06, 2925.11, 2925.13, 2925.14, 2925.22, 2925.23, or
3716.11 of the Revised Code, felonious sexual penetration in
violation of former section 2907.12 of the Revised Code, a
violation of section 2905.04 of the Revised Code as it existed
prior to July 1, 1996, a violation of section 2919.23 of the
Revised Code that would have been a violation of section 2905.04
of the Revised Code as it existed prior to July 1, 1996, had the
violation been committed prior to that date;
(b) An existing or former law of this state, any other state,
or the United States that is substantially equivalent to any of
the offenses listed in division (A)(5)(a) of this section.
(6) On receipt of a request pursuant to section 3701.881 of
the Revised Code with respect to an applicant for employment with
a home health agency in a position that involves providing direct
care to an older adult, a completed form prescribed pursuant to
division (C)(1) of this section, and a set of fingerprint
impressions obtained in the manner described in division (C)(2) of
this section, the superintendent of the bureau of criminal
identification and investigation shall conduct a criminal records
check. The superintendent shall conduct the criminal records check
in the manner described in division (B) of this section to
determine whether any information exists that indicates that the
person who is the subject of the request previously has been
convicted of or pleaded guilty to any of the following:
(a) A violation of section 2903.01, 2903.02, 2903.03,
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34,
2905.01, 2905.02, 2905.11, 2905.12, 2907.02, 2907.03, 2907.05,
2907.06, 2907.07, 2907.08, 2907.09, 2907.12, 2907.25, 2907.31,
2907.32, 2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11,
2911.12, 2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21,
2913.31, 2913.40, 2913.43, 2913.47, 2913.51, 2919.25, 2921.36,
2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 2925.11, 2925.13,
2925.22, 2925.23, or 3716.11 of the Revised Code;
(b) An existing or former law of this state, any other state,
or the United States that is substantially equivalent to any of
the offenses listed in division (A)(6)(a) of this section.
(7) When conducting a criminal records check upon a request
pursuant to section 3319.39 of the Revised Code for an applicant
who is a teacher, in addition to the determination made under
division (A)(1) of this section, the superintendent shall
determine whether any information exists that indicates that the
person who is the subject of the request previously has been
convicted of or pleaded guilty to any offense specified in section
3319.31 of the Revised Code.
(8) On receipt of a request pursuant to section 2151.86 of
the Revised
Code, a completed form prescribed pursuant to
division (C)(1) of
this section, and a set of fingerprint
impressions obtained in the
manner described in division (C)(2)
of this section, the
superintendent of the bureau of criminal
identification and
investigation shall conduct a criminal records
check in the manner
described in division (B) of this section to
determine whether any
information exists that indicates that the
person who is the
subject of the request previously has been
convicted of or pleaded
guilty to any of the following:
(a) A violation of section 2903.01, 2903.02, 2903.03,
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34,
2905.01, 2905.02, 2905.05, 2907.02, 2907.03, 2907.04, 2907.05,
2907.06, 2907.07, 2907.08, 2907.09, 2907.21, 2907.22, 2907.23,
2907.25, 2907.31, 2907.32, 2907.321, 2907.322, 2907.323, 2909.02,
2909.03, 2911.01, 2911.02, 2911.11, 2911.12, 2919.12, 2919.22,
2919.24, 2919.25, 2923.12, 2923.13, 2923.161, 2925.02, 2925.03,
2925.04, 2925.05, 2925.06, or 3716.11 of the Revised Code, a
violation of section 2905.04 of the Revised Code as it existed
prior to July 1, 1996, a violation of section 2919.23 of the
Revised Code that would have been a violation of section 2905.04
of the Revised Code as it existed prior to July 1, 1996, had the
violation been committed prior to that date, a violation of
section 2925.11 of the Revised Code that is not a minor drug
possession offense, or felonious sexual penetration in violation
of former section 2907.12 of the Revised Code;
(b) A violation of an existing or former law of this state,
any other state, or the United States that is substantially
equivalent to any of the offenses listed in division (A)(8)(a) of
this section.
(9) When conducting a criminal records check on a request
pursuant to section 5104.013 of the Revised Code for a person who
is an owner, licensee, or administrator of a child day-care center
or type A family day-care home, an authorized provider of a
certified type B family day-care home, or an adult residing in a
type A or certified type B home, or when conducting a criminal
records check or a request pursuant to section 5104.012 of the
Revised Code for a person who is an applicant for employment in a
center, type A home, or certified type B home, the superintendent,
in addition to the determination made under division (A)(1) of
this section, shall determine whether any information exists that
indicates that the person has been convicted of or pleaded guilty
to any of the following:
(a) A violation of section 2913.02, 2913.03, 2913.04,
2913.041, 2913.05, 2913.06, 2913.11, 2913.21, 2913.31, 2913.32,
2913.33, 2913.34, 2913.40, 2913.41, 2913.42, 2913.43, 2913.44,
2913.441, 2913.45, 2913.46, 2913.47, 2913.48, 2913.49, 2921.11,
2921.13, or 2923.01 of the Revised Code, a violation of section
2923.02 or 2923.03 of the Revised Code that relates to a crime
specified in this division or division (A)(1)(a) of this section,
or a second violation of section 4511.19 of the Revised Code
within five years of the date of application for licensure or
certification.
(b) A violation of an existing or former law of this state,
any other state, or the United States that is substantially
equivalent to any of the offenses or violations described in
division (A)(9)(a) of this section.
(10) Upon receipt of a request pursuant to section 5153.111
of the Revised Code, a completed form prescribed pursuant to
division (C)(1) of this section, and a set of fingerprint
impressions obtained in the manner described in division (C)(2) of
this section, the superintendent of the bureau of criminal
identification and investigation shall conduct a criminal records
check in the manner described in division (B) of this section to
determine whether any information exists that indicates that the
person who is the subject of the request previously has been
convicted of or pleaded guilty to any of the following:
(a) A violation of section 2903.01, 2903.02, 2903.03,
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34,
2905.01, 2905.02, 2905.05, 2907.02, 2907.03, 2907.04, 2907.05,
2907.06, 2907.07, 2907.08, 2907.09, 2907.21, 2907.22, 2907.23,
2907.25, 2907.31, 2907.32, 2907.321, 2907.322, 2907.323, 2909.02,
2909.03, 2911.01, 2911.02, 2911.11, 2911.12, 2919.12, 2919.22,
2919.24, 2919.25, 2923.12, 2923.13, 2923.161, 2925.02, 2925.03,
2925.04, 2925.05, 2925.06, or 3716.11 of the Revised Code,
felonious sexual penetration in violation of former section
2907.12 of the Revised Code, a violation of section 2905.04 of the
Revised Code as it existed prior to July 1, 1996, a violation of
section 2919.23 of the Revised Code that would have been a
violation of section 2905.04 of the Revised Code as it existed
prior to July 1, 1996, had the violation been committed prior to
that date, or a violation of section 2925.11 of the Revised Code
that is not a minor drug possession offense;
(b) A violation of an existing or former law of this state,
any other state, or the United States that is substantially
equivalent to any of the offenses listed in division (A)(10)(a) of
this section.
(11) On receipt of a request for a criminal records check
from an individual pursuant to section 4749.03 or 4749.06 of the
Revised Code, accompanied by a completed copy of the form
prescribed in division (C)(1) of this section and a set of
fingerprint impressions obtained in a manner described in division
(C)(2) of this section, the superintendent of the bureau of
criminal identification and investigation shall conduct a criminal
records check in the manner described in division (B) of this
section to determine whether any information exists indicating
that the person who is the subject of the request has been
convicted of or pleaded guilty to a felony in this state or in any
other state. If the individual indicates that a firearm will be
carried in the course of business, the superintendent shall
require information from the federal bureau of investigation as
described in division (B)(2) of this section. The superintendent
shall report the findings of the criminal records check and any
information the federal bureau of investigation provides to the
director of public safety.
(12) On receipt of a request pursuant to section 1321.37,
1322.03,
1322.031, or 4763.05 of the Revised Code, a completed
form
prescribed pursuant to division (C)(1) of this section, and
a set
of fingerprint impressions obtained in the manner described
in
division (C)(2) of this section, the superintendent of the
bureau
of criminal identification and investigation shall conduct
a
criminal records check with respect to any person who has
applied
for a license, permit, or certification from the
department of
commerce or a division in the department. The
superintendent shall
conduct the criminal records check in the
manner described in
division (B) of this section to determine
whether any information
exists that indicates that the person who
is the subject of the
request previously has been convicted of or
pleaded guilty to any
of the following: a violation of section
2913.02, 2913.11,
2913.31, 2913.51, or 2925.03 of the Revised
Code; any other
criminal offense involving theft, receiving
stolen property,
embezzlement, forgery, fraud, passing bad
checks, money
laundering, or drug trafficking, or any criminal
offense involving
money or securities, as set forth in Chapters
2909., 2911., 2913.,
2915., 2921., 2923., and 2925. of the
Revised Code; or any
existing or former law of this state, any
other state, or the
United States that is substantially
equivalent to those offenses.
(13) On receipt of a request for a criminal records check
from the treasurer of state under section 113.041 of the Revised
Code or
from an individual under section 4701.08,
4715.101,
4717.061, 4725.121, 4725.501, 4729.071, 4730.101,
4730.14,
4730.28, 4731.081, 4731.15, 4731.171, 4731.222,
4731.281,
4731.296, 4731.531, 4732.091, 4734.202, 4740.061,
4741.10,
4755.70, 4757.101, 4759.061, 4760.032, 4760.06,
4761.051,
4762.031, 4762.06, or 4779.091 of the Revised Code,
accompanied
by
a completed form prescribed under division (C)(1)
of this
section
and a set of fingerprint impressions obtained in
the
manner
described in division (C)(2) of this section, the
superintendent
of the bureau of criminal identification and
investigation shall
conduct a criminal records check in the
manner described in
division (B) of this section to determine
whether any information
exists that indicates that the person who
is the subject of the
request has been convicted of or pleaded
guilty to any criminal
offense in this state or any other state.
The superintendent shall
send the results of a check requested
under section 113.041 of the Revised Code to the treasurer of
state and shall send the results of a check requested under any of
the other listed sections to the licensing board specified by the
individual in the request.
(14) Not later than thirty days after the date the
superintendent receives a request of a type described in
division
(A)(1), (2), (3), (4), (5), (6), (7), (8), (9), (10),
(11), or
(12) of this section, the completed form, and
the
fingerprint
impressions, the superintendent shall send the person,
board, or
entity that made the request any information, other than
information the dissemination of which is prohibited by federal
law, the superintendent determines exists with respect to the
person who is the subject of the request that indicates that the
person previously has been convicted of or pleaded guilty to any
offense listed or described in division (A)(1), (2), (3), (4),
(5), (6), (7), (8), (9), (10), (11), or (12) of this section, as
appropriate. The superintendent shall send the person, board, or
entity that made the request a copy of the list of offenses
specified in division (A)(1), (2), (3), (4), (5), (6), (7), (8),
(9), (10), (11), or (12) of this section, as appropriate. If the
request was made under section 3701.881 of the Revised Code with
regard to an applicant who may be both responsible for the care,
custody, or control of a child and involved in providing direct
care to an older adult, the superintendent shall provide a list of
the offenses specified in divisions (A)(4) and (6) of this
section.
Not later than thirty days after the superintendent receives
a request for a criminal records check pursuant to section 113.041
of the Revised Code, the completed form, and the fingerprint
impressions, the superintendent shall send the treasurer of state
any information, other than information the dissemination of which
is prohibited by federal law, the superintendent determines exist
with respect to the person who is the subject of the request that
indicates that the person previously has been convicted of or
pleaded guilty to any criminal offense in this state or any other
state.
(B) The superintendent shall conduct any criminal records
check requested under section 113.041, 121.08, 173.27, 173.394,
1322.03,
1322.031, 2151.86, 3301.32, 3301.541, 3319.39, 3701.881,
3712.09,
3721.121, 3722.151, 4701.08, 4715.101,
4717.061,
4725.121, 4725.501, 4729.071, 4730.101, 4730.14,
4730.28,
4731.081, 4731.15, 4731.171, 4731.222, 4731.281,
4731.296,
4731.531, 4732.091, 4734.202, 4740.061, 4741.10,
4749.03,
4749.06, 4755.70, 4757.101, 4759.061, 4760.032, 4760.06,
4761.051, 4762.031, 4762.06, 4763.05, 4779.091, 5104.012,
5104.013,
5111.032, 5111.033, 5111.034, 5123.081, 5126.28,
5126.281, or
5153.111 of the Revised Code as follows:
(1) The superintendent shall review or cause to be reviewed
any relevant information gathered and compiled by the bureau under
division (A) of section 109.57 of the Revised Code that relates to
the person who is the subject of the request, including any
relevant information contained in records that have been sealed
under section 2953.32 of the Revised Code;
(2) If the request received by the superintendent asks for
information from the federal bureau of investigation, the
superintendent shall request from the federal bureau of
investigation any information it has with respect to the person
who is the subject of the request and shall review or cause to be
reviewed any information the superintendent receives from that
bureau.
(3) The superintendent or the superintendent's designee may
request criminal history records from other states or the federal
government pursuant to the national crime prevention and privacy
compact set forth in section 109.571 of the Revised Code.
(C)(1) The superintendent shall prescribe a form to obtain
the information necessary to conduct a criminal records check from
any person for whom a criminal records check is requested under
section 113.041 of the Revised Code or required by
section
121.08, 173.27, 173.394, 1322.03, 1322.031, 2151.86,
3301.32,
3301.541, 3319.39, 3701.881, 3712.09, 3721.121, 3722.151,
4701.08, 4715.101, 4717.061, 4725.121, 4725.501,
4729.071,
4730.101, 4730.14, 4730.28, 4731.081, 4731.15, 4731.171,
4731.222, 4731.281, 4731.296, 4731.531, 4732.091, 4734.202,
4740.061, 4741.10, 4749.03, 4749.06, 4755.70, 4757.101, 4759.061,
4760.032, 4760.06, 4761.051, 4762.031, 4762.06, 4763.05, 4779.091,
5104.012, 5104.013,
5111.032,
5111.033, 5111.034, 5123.081,
5126.28, 5126.281, or
5153.111 of
the Revised Code. The form
that the superintendent
prescribes
pursuant to this division may
be in a tangible format,
in an
electronic format, or in both
tangible and electronic
formats.
(2) The superintendent shall prescribe standard impression
sheets to obtain the fingerprint impressions of any person for
whom a criminal records check is requested under section 113.041
of the Revised Code or required by section 121.08,
173.27,
173.394, 1322.03, 1322.031, 2151.86, 3301.32, 3301.541,
3319.39,
3701.881, 3712.09, 3721.121, 3722.151, 4701.08,
4715.101,
4717.061, 4725.121, 4725.501, 4729.071, 4730.101,
4730.14,
4730.28, 4731.081, 4731.15, 4731.171, 4731.222, 4731.281,
4731.296, 4731.531, 4732.091, 4734.202, 4740.061, 4741.10,
4749.03, 4749.06,
4755.70, 4757.101, 4759.061, 4760.032, 4760.06,
4761.051, 4762.031, 4762.06, 4763.05, 4779.091, 5104.012,
5104.013, 5111.032, 5111.033,
5111.034,
5123.081, 5126.28,
5126.281, or 5153.111 of the Revised
Code. Any
person for whom a
records check is requested under or required by any of
those
sections shall obtain the fingerprint impressions at a
county
sheriff's office, municipal police department, or any other
entity with the ability to make fingerprint impressions on the
standard impression sheets prescribed by the superintendent. The
office, department, or entity may charge the person a reasonable
fee for making the impressions. The standard impression sheets the
superintendent prescribes pursuant to this division may be in a
tangible format, in an electronic format, or in both tangible and
electronic formats.
(3) Subject to division (D) of this section, the
superintendent shall prescribe and charge a reasonable fee for
providing a criminal records check requested under section
113.041, 121.08,
173.27, 173.394, 1322.03, 1322.031, 2151.86,
3301.32, 3301.541,
3319.39, 3701.881, 3712.09, 3721.121,
3722.151, 4701.08, 4715.101, 4717.061, 4725.121,
4725.501,
4729.071, 4730.101,
4730.14, 4730.28, 4731.081,
4731.15,
4731.171, 4731.222, 4731.281,
4731.296, 4731.531,
4732.091,
4734.202, 4740.061, 4741.10, 4749.03, 4749.06,
4755.70,
4757.101, 4759.061, 4760.032, 4760.06, 4761.051, 4762.031,
4762.06, 4763.05, 4779.091, 5104.012, 5104.013, 5111.032,
5111.033,
5111.034,
5123.081, 5126.28, 5126.281, or 5153.111 of
the Revised
Code. The
person making a criminal records request
under section 113.041,
121.08,
173.27, 173.394, 1322.03,
1322.031, 2151.86, 3301.32,
3301.541,
3319.39, 3701.881,
3712.09, 3721.121, 3722.151,
4701.08, 4715.101,
4717.061,
4725.121,
4725.501,
4729.071, 4730.101, 4730.14,
4730.28,
4731.081, 4731.15,
4731.171, 4731.222, 4731.281,
4731.296,
4731.531, 4732.091,
4734.202, 4740.061, 4741.10,
4749.03,
4749.06,
4755.70,
4757.101, 4759.061, 4760.032,
4760.06,
4761.051, 4762.031,
4762.06, 4763.05, 4779.091,
5104.012,
5104.013, 5111.033,
5111.034,
5123.081,
5126.28,
5126.281, or
5153.111 of the Revised
Code
shall pay the
fee
prescribed
pursuant to this division. A
person
making a
request
under
section 3701.881 of the Revised Code
for
a criminal
records
check for an applicant who may be both
responsible for
the care,
custody, or control of a child and
involved in
providing direct
care to an older adult shall pay one
fee for the
request. In the
case of a request under section
5111.032 of the
Revised Code,
the fee shall be paid in the manner
specified in
that section.
(4) The superintendent of the bureau of criminal
identification and investigation may prescribe methods of
forwarding fingerprint impressions and information necessary to
conduct a criminal records check, which methods shall include, but
not be limited to, an electronic
method.
(D) A determination whether any information exists that
indicates that a person previously has been convicted of or
pleaded guilty to any offense listed or described in division
(A)(1)(a) or (b), (A)(2)(a) or (b), (A)(3)(a) or (b), (A)(4)(a) or
(b), (A)(5)(a) or (b), (A)(6)(a) or (b), (A)(7), (A)(8)(a) or
(b),
(A)(9)(a) or (b), (A)(10)(a) or (b), or (A)(12) of this
section, or that indicates that
a person previously has been
convicted of or pleaded guilty to any
criminal offense in this
state or any other state regarding a
criminal records check of a
type described in division (A)(13) of
this section, and
that is
made by the superintendent with respect to
information
considered in a criminal records check in accordance
with this
section is valid for the person who is the subject of
the
criminal
records check for a period of one year from the date
upon which
the superintendent makes the determination. During the
period in
which the determination in regard to a person is valid,
if another
request under this section is made for a criminal
records check
for that person, the superintendent shall provide
the information
that is the basis for the superintendent's
initial determination
at a lower fee than the fee prescribed for
the initial criminal
records check.
(E) As used in this section:
(1) "Criminal records check" means any criminal records check
conducted by the superintendent of the bureau of criminal
identification and investigation in accordance with division (B)
of this section.
(2) "Minor drug possession offense" has the same meaning as
in
section 2925.01 of the Revised Code.
(3) "Older adult" means a person age sixty or older.
Sec. 121.085. The financial literacy education fund is hereby
created in the state treasury. The fund shall consist of funds
transferred to it from the consumer finance fund pursuant to
section 1321.21 of the Revised Code. The fund
shall be used to
support various adult financial literacy
education programs
developed or implemented by the director of
commerce. The fund
shall be administered by the director of
commerce
who shall
adopt rules for the distribution of fund
moneys. The director of
commerce shall adopt a rule to require
that at least one-half of
the financial literacy education
programs developed or
implemented pursuant to this section, and
offered to the public,
be presented by or available at public
community colleges or
state institutions throughout
the state. The
director of
commerce
shall deliver to the
president
of the senate,
the
speaker of the
house of
representatives, the
minority leader
of the senate, the
minority leader of the house
of
representatives, and the
governor an annual report that
includes
an outline of each adult
financial
literacy education program
developed or
implemented,
the number of
individuals who were
educated by each
program, and
an accounting
for all funds
distributed.
Sec. 135.63. The treasurer of state may invest in linked
deposits under
sections 135.61 to 135.67, short-term installment
loan linked
deposits under sections 135.68 to 135.70,
agricultural linked
deposits
under sections
135.71 to 135.76,
housing linked deposits
under sections 135.81 to 135.87, and
assistive technology device
linked deposits
under sections 135.91
to 135.97 of the Revised
Code, provided
that at the time of
placement
of any linked deposit
under sections 135.61 to 135.67
of
the Revised Code, short-term installment
loan
linked deposit,
agricultural
linked deposit,
housing linked
deposit, or assistive
technology
device linked
deposit, the
combined amount of
investments
in the
linked deposits, short-term installment
loan
linked deposits, agricultural
linked deposits,
housing
linked
deposits, and assistive technology device linked deposits
is not
more
than twelve per cent of the state's total average
investment
portfolio as
determined by the treasurer of state.
When
deciding
whether to invest in
the linked deposits,
short-term installment
loan linked
deposits, agricultural
linked
deposits,
housing
linked deposits,
or
assistive technology
device
linked deposits,
the treasurer of
state shall
give priority
to the
investment,
liquidity, and cash
flow needs of the state.
Sec. 135.68. As used in sections 135.68 to 135.70 of the
Revised Code:
(A) "Eligible individual" means a person in this state.
(B) "Eligible lending institution" means a financial
institution that is eligible to make loans, is a public depository
of state funds under section 135.03 of the Revised Code, and
agrees to participate in the short-term installment loan linked
deposit
program.
(C) "Short-term installment loan" means an extension of
credit that does
not
exceed eight hundred dollars, the duration
of which is not
less
than ninety days and six installments, and
the interest on the
loan is calculated in compliance with 15
U.S.C. 1606 and does not
exceed an annual percentage rate of
twenty-eight per cent. For the
purpose of this section, interest
and annual percentage rate have the same
meaning as in section
1321.35 of the Revised Code.
(D) "Short-term installment loan linked deposit" means a
certificate of
deposit placed by the treasurer of state with an
eligible lending
institution at up to three per cent below
current market rates, as
determined and calculated by the
treasurer of state, provided the
institution agrees to lend the
value of such deposit, according to
the deposit agreement
provided for section 135.69 of the Revised
Code, to eligible
individuals in the form of short-term installment loans.
Sec. 135.69. (A) An eligible lending institution shall enter
into a deposit agreement with the treasurer of state, which
agreement shall include requirements necessary to carry out the
purposes of sections 135.68 to 135.70 of the Revised Code. These
requirements shall reflect the market conditions prevailing in the
eligible lending institution's lending area.
(B)(1) The deposit agreement required by division (A) of this
section shall include provisions for certificates of deposit to be
placed for any maturity considered appropriate by the treasurer of
state not to exceed two years, but may be renewed for up to an
additional two years at the option of the treasurer of state.
Interest shall be paid at the times determined by the treasurer of
state.
(2) The deposit agreement required by division (A) of this
section may include a specification of the period of time in which
the lending institution is to lend funds upon the placement of a
short-term installment loan
linked deposit.
(C) Eligible lending institutions shall comply fully with
this
chapter.
(D) An eligible lending institution that desires to receive a
short-term installment loan linked deposit shall forward to the
treasurer of
state
a short-term installment loan linked deposit
loan package, in the form
and manner
as prescribed by the
treasurer of state. The package
required by
this section shall
include such information as
required by the
treasurer of state,
including the amount of the
loan requested.
(E) Upon the placement of a short-term installment loan
linked deposit
with
an eligible lending institution, the
institution shall make
short-term installment
loans, as defined
in section 135.68 of the Revised
Code, to
eligible individuals
in accordance with the deposit
agreement
required by section
135.69 of the Revised Code.
(F) An eligible lending institution shall certify compliance
with this section in the form and manner prescribed by the
treasurer of state.
Sec. 135.70. (A) The treasurer of state may accept or reject
a short-term installment loan linked deposit loan package or any
portion of
the
package required by section 135.69 of the Revised
Code, based
on
the treasurer's evaluation of the package and the
amount of
state
funds to be deposited.
(B) Upon acceptance of the short-term installment loan linked
deposit
loan
package or any portion of the package, the
treasurer of state
may
place certificates of deposit with the
eligible lending
institution at three per cent below current
market rates, as
determined and calculated by the treasurer of
state. However, when
necessary, the treasurer of state may place
certificates of
deposit prior to acceptance of a short-term
installment loan linked deposit
loan
package.
(C) The treasurer of state shall take all steps, including
the development of guidelines, necessary to implement the
short-term installment
loan linked deposit program established
under sections
135.68 to
135.70 of the Revised Code and monitor
compliance of
eligible
lending institutions.
(D)(1) Annually, by the first day of February, the treasurer
of state shall report on the short-term installment loan linked
deposit
program
established under sections 135.68 to 135.70 of
the Revised
Code
for the preceding calendar year to the
governor, the speaker
of
the house of representatives, and the
president of the senate.
(2) The report required by division (D)(1) of this section
shall set forth the short-term installment loan linked deposits
made by the
treasurer of state under the program during the year
and shall
include the following information:
(a) The number of short-term installment loans made by each
eligible
lending
institution pursuant to a short-term
installment loan linked deposit,
categorized
by United States
postal zip code;
(b) A representation of the number or percentage of loans,
pursuant to each short-term installment loan linked deposit, that
were paid
late
or in default.
(3) The speaker of the house of representatives shall
transmit copies of the report required by division (D)(1) of this
section to the chairperson of the standing house of
representatives committee that customarily considers legislation
regarding financial institutions, and the president of the senate
shall transmit copies of the report to the chairperson of the
standing senate committee that customarily considers legislation
regarding financial institutions.
(E) The state and the treasurer of state are not liable to
any eligible lending institution in any manner for payment of the
principal or interest on a loan made under sections 135.68 to
135.70 of the Revised Code to an eligible individual.
(F) Any delay in payments or default on the part of an
eligible individual with respect to a loan made under sections
135.68 to 135.70 of the Revised Code does not in any manner affect
the deposit agreement between the eligible lending institution and
the treasurer of state.
Sec. 1181.05. (A) As used in this section, "consumer finance
company" means any person
required to be licensed or registered
under Chapter 1321., 1322.,
4712., 4727., or 4728., or sections
1315.21 to 1315.30, or sections 1315.35 to
1315.44 of the Revised
Code.
(B) Neither the superintendent of financial
institutions nor
any other employee of the division of financial institutions shall
do any
of the following: be interested, directly or indirectly, in
any bank, savings
and loan association, savings bank, credit
union, or consumer finance company,
that is under the
supervision
of the superintendent of financial institutions;
directly or
indirectly borrow money from any such financial institution or
company; serve
as a director or officer of or be employed by any
such financial institution
or company;
or own an equity interest
in any such financial institution or company. For
purposes of
this
section, an equity interest
does not include the ownership of an
account in a mutual savings and loan
association or in a savings
bank that does not have permanent stock or the
ownership of a
share account in a credit union.
(C) Subject to division (G) of this section, an employee
of
the division of financial
institutions may retain any extension of
credit that otherwise
would be prohibited by division (B) of this
section if both of the
following apply:
(1) The employee obtained the
extension of credit prior to
October 29, 1995, or
the commencement of the employee's employment
with the division, or as a
result of a change in the employee's
marital status,
the consummation of a merger, acquisition,
transfer of
assets, or other change in corporate ownership beyond
the
employee's control, or the sale of the extension of credit in
the secondary
market or other business transaction beyond the
employee's control.
(2) The employee liquidates the
extension of credit under its
original terms and without
renegotiation.
If the employee chooses to retain the extension of
credit,
the employee shall immediately provide written notice of
the
retention to the employee's supervisor. Thereafter, the employee
shall
be disqualified from participating in any decision,
examination,
audit, or other action that may affect that
particular creditor.
(D) Subject to division (G) of this section, an employee
of
the division of financial institutions may retain any ownership of
or
beneficial interest in the securities of a financial
institution or consumer
finance company that is under the
supervision of the division of financial
institutions, or of a
holding company or subsidiary of such a financial
institution or
company,
which ownership or beneficial interest otherwise would be
prohibited by
division (B) of this section, if the ownership or
beneficial interest
is acquired by the employee through
inheritance or gift, prior
to October 29, 1995, or the
commencement of the
employee's employment with the division, or as
a result of a change in the
employee's marital status or the
consummation of
a merger, acquisition, transfer of assets, or
other change in
corporate ownership beyond the employee's control.
If the employee chooses to retain the ownership or
beneficial
interest, the employee shall immediately provide
written notice of
the retention to the employee's supervisor. Thereafter,
the
employee shall be disqualified from participating in any
decision,
examination, audit, or other action that may affect
the issuer of
the securities. However, if the ownership of or
beneficial
interest in the securities and the subsequent
disqualification
required by this division impair the employee's ability to
perform
the
employee's duties, the employee may be ordered to divest self
of the ownership of or beneficial interest in the securities.
(E) Notwithstanding division (B) of this section, an
employee
of the division of financial institutions may have an
indirect
interest in the securities of a financial institution
or consumer
finance company that is under the supervision of the division of
financial
institutions, which interest arises through ownership of
or
beneficial interest in the securities of a publicly held mutual
fund or investment trust, if the employee owns or has a
beneficial
interest in less than five per cent of the securities
of the
mutual fund or investment trust, and the mutual fund or
investment
trust is not advised or sponsored by a financial
institution or
consumer finance company that is under the supervision of the
division of
financial institutions. If the mutual fund or
investment trust
is subsequently advised or sponsored by a
financial institution or consumer
finance company
that is under
the supervision of the division of financial
institutions, the
employee shall immediately provide written
notice of the ownership
of or beneficial interest in the
securities to the employee's
supervisor. Thereafter, the
employee shall be disqualified from
participating in any
decision, examination, audit, or other action
that may affect
the financial institution or consumer finance
company. However, if the
ownership of or
beneficial interest in
the securities and the subsequent
disqualification required by
this division impair the
employee's ability to perform the
employee's duties, the
employee may be ordered to divest self of
the ownership
of or beneficial interest in the securities.
(F)(1) For purposes of this section, the
interests of an
employee's spouse or dependent child arising
through the ownership
or control of securities shall be
considered the interests of the
employee, unless the interests
are solely the financial interest
and responsibility of the
spouse or dependent child, the interests
are not in any way
derived from the income, assets, or activity of
the employee,
and any financial or economic benefit from the
interests is for
the personal use of the spouse or dependent
child.
(2) If an employee's spouse or dependent child obtains
interests
arising through the ownership or control of securities
and, pursuant to
division (F)(1) of this section, the interests
are
not considered the interests of the
employee, the employee
shall immediately provide written notice
of the interests to the
employee's supervisor. Thereafter, the employee
shall be
disqualified from participating in any decision,
examination,
audit, or other action that may affect the issuer
of the
securities.
(G) For purposes of divisions (C) and (D) of
this section,
both of the following apply:
(1) With respect to any employee of the former division of
consumer
finance who, on the first day of the first pay period
commencing after the
effective date of this section, becomes an
employee of the division of
financial institutions, the employee's
employment with the division of
financial institutions is deemed
to commence on the first day of the first pay
period commencing
after the effective date of this section.
(2) With respect to any employee who, on
October 29, 1995,
became an employee of the
division of financial institutions, the
employee may, notwithstanding
divisions
(C) and (D)
of this
section, retain any extension of credit by a consumer finance
company
that was obtained at any time prior to the first day of
the first pay period
commencing after the effective date of this
section, or retain any ownership
of or beneficial interest in the
securities of a consumer finance company, or
of a holding company
or subsidiary of such a company, that was acquired at any
time
prior to the first day of the first pay period commencing after
the
effective date of this section. If the employee chooses to
retain the
extension of
credit or the ownership or beneficial
interest, the employee shall comply with
divisions (C) and (D) of
this section.
Sec. 1181.21. (A) As used in this
section, "consumer finance
company" has the same meaning as in section 1181.05
of the Revised
Code.
(B) The superintendent of financial
institutions shall see
that the laws relating to consumer finance companies
are executed
and enforced.
(C) The deputy superintendent for
consumer finance shall be
the principal supervisor of consumer finance
companies. In that
position the deputy superintendent for consumer finance
shall,
notwithstanding division (C) of section
1315.42 1321.421,
division (A) of section 1321.76, and sections 1321.07, 1321.55,
1322.06, 4727.05, and 4728.05 of the Revised Code,
be responsible
for conducting examinations and preparing examination reports
under those sections. In addition, the deputy superintendent for
consumer
finance shall, notwithstanding sections 1315.27, 1315.43,
1321.10, 1321.43, 1321.54,
1321.77, 1322.12, 4712.14, 4727.13, and
4728.10 of the
Revised Code,
have the authority to adopt rules and
standards in accordance with those
sections. In performing or
exercising any of the examination, rule-making, or
other
regulatory functions, powers, or duties vested by this division in
the
deputy superintendent for consumer finance, the deputy
superintendent for
consumer finance shall be subject to the
control of the superintendent of
financial institutions and the
director of commerce.
Sec. 1181.25. The superintendent of financial institutions
may introduce into evidence or disclose, or authorize to be
introduced into evidence or disclosed, information that, under
sections 1121.18, 1155.16, 1163.20, 1315.122, 1321.09, 1321.48,
1321.55, 1321.76,
1322.06, 1322.061,
1733.32, 1733.327, and
4727.18 of the Revised
Code, is privileged,
confidential, or
otherwise not public
information or a public
record, provided that
the superintendent
acts only as provided in
those sections or in
the following
circumstances:
(A) When in the opinion of the superintendent, it is
appropriate with regard to any enforcement actions taken and
decisions made by the superintendent under Chapters 1315., 1321.,
1322., 1733., 4712., 4727., and 4728. of the Revised Code or Title
XI of the Revised Code;
(B) When litigation has been initiated by the
superintendent
in furtherance of the powers, duties, and
obligations imposed upon
the superintendent by Chapters 1315.,
1321., 1322., 1733., 4712.,
4727., and 4728. of the Revised Code
or Title XI of the Revised
Code;
(C) When in the opinion of the superintendent, it is
appropriate with regard to enforcement actions taken or decisions
made by other financial institution regulatory authorities to whom
the
superintendent has provided the information pursuant to
authority
in Chapters 1315., 1321., 1322., 1733., 4712., 4727.,
and 4728. of
the Revised Code or Title XI of the Revised Code.
Sec. 1315.99. (A) Whoever violates division (A) or (B) of
section 1315.28, section 1315.41, or division (E)(2) of section
1315.53 of the
Revised Code is guilty of a misdemeanor of the
first degree.
(B) Whoever violates division (F)(1) of section 1315.53 or
division (B) of
section 1315.54 of the Revised Code is guilty of a
felony of the fourth
degree.
(C) Whoever violates division (A) of section 1315.55 of the
Revised Code is
guilty of money laundering. A violation of
division (A)(1), (2), (3), (4), or
(5) of that section is a felony
of the third degree, and, in addition, the
court may impose a fine
of seven thousand five hundred dollars or twice the
value of the
property involved, whichever is greater.
(D) Whoever knowingly violates division (A) of section
1315.02, or intentionally violates division (B)(1) of section
1315.081, of the Revised Code is guilty of a felony of the fourth
degree.
Sec. 1321.02. No person shall engage in the business of
lending money, credit, or choses in action in amounts of five
thousand dollars or less, or exact, contract for, or receive,
directly or indirectly, on or in connection with any such loan,
any interest and charges that in the aggregate are greater than
the interest and charges that the lender would be permitted to
charge for a loan of money if the lender were not a licensee,
without first having obtained a license from the division of
financial
institutions under sections 1321.01 to 1321.19 of
the
Revised Code.
Sections 1321.01 to 1321.19 of the Revised Code do not
apply
to any person doing business under and as permitted by any
law of
this state, another state, or the United States relating
to banks,
savings banks, savings societies, trust companies,
credit unions,
savings and loan associations substantially all
the business of
which is confined to loans on real estate
mortgages and evidences
of their own indebtedness; to
registrants
conducting business
pursuant to sections 1321.51 to 1321.60 of
the Revised Code; to
licensees conducting business
pursuant to
sections 1321.71 to
1321.83 of the Revised Code; to licensees
doing business pursuant
to sections 1315.35 to 1315.44 1321.35 to 1321.48 of the Revised
Code; or to any entity who is licensed pursuant to Title XXXIX of
the Revised Code, who makes advances or loans to any person who is
licensed to sell insurance pursuant to that Title, and who is
authorized in writing by that entity to sell insurance. No person
engaged in the business of selling tangible goods or services
related thereto may receive or retain a license under sections
1321.01 to 1321.19 of the Revised Code for such place of
business.
The first paragraph of this section applies to any person,
who by any device, subterfuge, or pretense, charges, contracts
for, or receives greater interest, consideration, or charges than
that authorized by this section for any such loan or use of money
or for any such loan, use, or sale of credit, or who for a fee or
any manner of compensation arranges or offers to find or arrange
for another person to make any such loan, use, or sale of credit.
This section does not preclude the acquiring, directly or
indirectly, by purchase or discount, of a bona fide obligation
for
goods or services when such obligation is payable directly to
the
person who provided the goods or services.
Any contract of loan in the making or collection of which
an
act is done by the lender that violates this section is void
and
the lender has no right to collect, receive, or retain any
principal, interest, or charges.
Sec. 1321.15. (A) No licensee shall knowingly induce or
permit any person, jointly or severally, to be obligated,
directly
or contingently or both, under more than one contract of
loan at
the same time for the purpose or with the result of
obtaining a
higher rate of interest or greater charges than would otherwise be
permitted upon a single loan made under sections 1321.01 to
1321.19 of the Revised Code.
(B) No licensee shall charge, contract for, or receive,
directly or indirectly, interest and charges greater than such
licensee would be permitted to charge, contract for, or receive
without a license under sections 1321.01 to 1321.19 of the
Revised
Code on any part of an indebtedness for one or more than
one loan
of money if the amount of such indebtedness is in excess
of five
thousand dollars.
(C) For the purpose of the limitations set forth in this
section, the amount of any such indebtedness shall be determined
by including the entire obligation of any person to the licensee
for principal, direct or contingent or both, as borrower,
indorser, guarantor, surety for, or otherwise, whether incurred
or
subsisting under one or more than one contract of loan, except
that any contract of indorsement, guaranty, or suretyship that
does not obligate the indorser, guarantor, or surety for any
charges in excess of eight per cent per annum, is not included in
such entire obligation. If a licensee acquires, directly or
indirectly, by purchase or discount, bona fide obligations for
goods or services owed by the person who received such goods or
services to the person who provided such goods or services, then
the amount of such purchased or discounted indebtedness to the
licensee shall not be included in computing the aggregate
indebtedness of such borrower to the licensee for the purpose of
the prohibitions set forth in this section.
Sec. 1321.21. All fees, charges, penalties, and forfeitures
collected under
Chapters 1321., 1322., 4712., 4727., and 4728.,
sections 1315.21 to
1315.30, sections 1315.35 to 1315.44, and
sections 1349.25 to 1349.37 of the
Revised Code shall be paid to
the superintendent of
financial institutions and shall be
deposited by the superintendent
into the state treasury to the
credit of the consumer
finance fund, which is hereby created. The
fund may
be expended or obligated by the superintendent for the
defrayment of the costs
of administration of Chapters 1321.,
1322., 4712., 4727., and
4728., sections 1315.21 to 1315.30,
sections 1315.35 to 1315.44, and sections 1349.25 to 1349.37 of
the
Revised Code
by the division of financial institutions.
All
actual and necessary expenses incurred by the superintendent,
including
any services rendered by the department of commerce for
the division's
administration of Chapters 1321., 1322.,
4712.,
4727., and 4728., sections 1315.21 to 1315.30, sections 1315.35 to
1315.44, and sections 1349.25 to 1349.37 of the Revised Code,
shall be paid from the fund. The fund shall be assessed a
proportionate share of the administrative costs of the department
and the
division. The proportionate share of the administrative
costs of the division
of financial institutions shall be
determined in accordance with
procedures prescribed by the
superintendent
and approved by the director of budget and
management. Such assessment shall
be paid from the consumer
finance fund to the division of
administration fund or the
financial institutions fund.
Periodically, in accordance with a schedule the director
establishes by rule, but at least once every three months, the
director of budget and management shall transfer five per cent of
all charges, penalties, and forfeitures received into the consumer
finance fund to the financial literacy education fund created
under section 121.085 of the Revised Code.
Sec. 1321.35. As used in sections 1321.35 to 1321.48 of the
Revised Code:
(A) "Short-term loan" means a loan
made pursuant to sections
1321.35 to 1321.48 of the Revised Code.
(B) "Superintendent of financial institutions" includes the
deputy superintendent for consumer finance as provided in section
1181.21
of the Revised Code.
(C) "Interest" means all charges payable directly or
indirectly by a borrower
to a licensee as a
condition to a loan,
including fees, loan origination charges, service charges, renewal
charges,
credit insurance premiums, and any ancillary product
sold in
connection with a loan made pursuant to sections 1321.35
to
1321.48
of the Revised Code.
(D) "Annual percentage rate" has the same meaning as in the
"Truth in Lending Act," 82 Stat. 149 (1980), 15 U.S.C. 1606, as
implemented by regulations of the board of governors of the
federal reserve system. All fees and charges shall be
included in
the computation of the annual percentage rate. Fees
and charges
for single premium credit insurance and other
ancillary products
sold in connection with the credit transaction
shall be included
in the calculation of the annual percentage
rate.
Sec. 1321.36. (A) No person shall engage in the business of
making short-term loans to a borrower in Ohio, or, in whole or in
part, make, offer, or broker a loan, or assist a borrower in Ohio
to obtain such a loan, without first having obtained a license
from the superintendent of financial institutions under sections
1321.35 to 1321.48 of the Revised Code. No licensee shall make,
offer, or broker a loan, or assist a borrower to obtain such a
loan, when the borrower is not physically present in the
licensee's business location.
(B) No person not located in Ohio shall make a short-term
loan to a borrower in Ohio from an office not located in
Ohio.
Nothing in this
section prohibits a business not
located or
licensed in Ohio from
lending funds to Ohio borrowers
who
physically visit the
out-of-state office of the business and
obtain the disbursement of
loan funds at that location. No person
shall make, offer, or broker a loan, or assist a borrower to
obtain a loan, via the telephone, mail, or internet.
Sec. 1321.37. (A) Application for an
original or
renewal
license to make short-term loans shall be
in writing, under
oath,
and in the form
prescribed by the
superintendent of
financial
institutions, and
shall contain the name and address of
the
applicant, the location
where the business of
making
loans is to
be
conducted, and any further
information as
the
superintendent
requires. At the time of
making an application
for an original
license, the applicant
shall pay to the
superintendent a
nonrefundable investigation fee
of two hundred
dollars. No
investigation fee or any portion
thereof shall be
refunded after
an original license has been
issued. The
application for an
original or renewal license shall
be
accompanied by an original
or
renewal license fee, for each
business location of one
thousand
dollars, except that
applications for original licenses
issued on
or after the first
day of July for any year shall be
accompanied
by an
original
license fee of
five hundred dollars,
and except that an
application for an
original or renewal
license, for a nonprofit
corporation that is
incorporated under
Chapter 1702. of the
Revised Code, shall be
accompanied by an
original or renewal
license fee, for each
business location,
that is one-half of the
fee otherwise required.
All fees paid to
the superintendent
pursuant to
this division
shall be deposited
into the state
treasury to the
credit of the
consumer finance
fund.
(B) Upon the filing of an application for an
original license
and, with respect to an application filed for a renewal license,
on a schedule determined by the superintendent by rule adopted
pursuant to section 1321.43 of the Revised Code, and the payment
of fees in accordance
with
division (A) of this section, the
superintendent
shall investigate
the facts concerning the
applicant and the
requirements provided
by this division. The
superintendent shall request the
superintendent of the bureau of
criminal identification and
investigation, or a vendor approved
by the bureau, to conduct a
criminal records check based on the
applicant's fingerprints in
accordance with division (A)(12) of
section 109.572 of the Revised
Code. Notwithstanding division (K)
of section 121.08 of the
Revised Code, the superintendent of
financial institutions shall
request that criminal record
information from the federal bureau
of investigation be obtained
as part of the criminal records
check. The superintendent of
financial institutions shall conduct
a civil records check. The
superintendent shall
approve an
application and issue an original
or renewal license
to the
applicant if the superintendent finds
all of the
following:
(1) The financial responsibility, experience,
reputation, and
general fitness of the applicant are such as to
warrant the belief
that the business of making loans will be
operated lawfully,
honestly, and fairly under sections 1321.35 to 1321.48 of
the
Revised Code and within the
purposes of those sections; that the
applicant has fully complied
with those sections and any rule or
order adopted or issued
pursuant to section 1321.43 of the Revised
Code;
and that the applicant is qualified to engage in the
business of
making loans under sections 1321.35 to 1321.48 of the
Revised Code.
(2) The applicant is financially sound and has a net
worth of
not less than one hundred thousand dollars, or in the case of a
nonprofit corporation that is incorporated under Chapter 1702. of
the Revised Code, a net worth of not less than fifty thousand
dollars. The
applicant's net
worth shall be computed according to
generally
accepted accounting
principles.
(3) The applicant has never had revoked a license to
make
loans under sections 1321.35 to
1321.48 of the
Revised Code,
under former sections 1315.35 to 1315.44 of the Revised Code, or
to
do business under sections
1315.21 to 1315.30 of the Revised
Code.
(4) Neither the applicant nor any senior officer, or partner
of
the applicant, has pleaded guilty to or been convicted of any
criminal offense involving theft, receiving stolen property,
embezzlement, forgery, fraud, passing bad checks, money
laundering, or drug trafficking, or any criminal offense involving
money or securities or any violation of an existing or former law
of this state, any other state, or the United States that
substantially is equivalent to a criminal offense described in
that division. However, if the applicant or any of those other
persons has pleaded guilty to or been convicted of any such
offense other than theft, the superintendent shall not consider
the offense if the applicant has proven to the superintendent, by
a preponderance of the evidence, that the applicant's or other
person's activities and employment record since the conviction
show that the applicant or other person is honest, truthful, and
of good reputation, and there is no basis in fact for believing
that the applicant or other person will commit such an offense
again.
(5) Neither the applicant nor any senior officer, or partner
of
the applicant, has been subject to any adverse judgment for
conversion, embezzlement, misappropriation of funds, fraud,
misfeasance or malfeasance, or breach of fiduciary duty, or if the
applicant or any of those other persons has been subject to such a
judgment, the applicant has proven to the superintendent, by a
preponderance of the evidence, that the applicant's or other
person's activities and employment record since the judgment show
that the applicant or other person is honest, truthful, and of
good reputation, and there is no basis in fact for believing that
the applicant or other person will be subject to such a judgment
again.
(C) If the superintendent finds that the
applicant does not
meet the requirements of division (B)
of this section, or the
superintendent finds that the applicant knowingly or repeatedly
contracts with or employs persons to directly engage in lending
activities who have been convicted of a felony crime listed in
division (B)(5) of this section, the
superintendent shall issue
an order denying
the application for an
original or renewal
license and giving the
applicant an
opportunity for a hearing on
the denial in
accordance with Chapter
119. of the Revised
Code.
The superintendent shall notify the
applicant of
the denial, the
grounds for the denial, and the
applicant's
opportunity for a
hearing. If the application is
denied, the
superintendent shall
return the annual license fee but
shall
retain the investigation
fee.
(D) No person licensed under sections 1321.35 to 1321.48 of
the Revised Code shall conduct business in this state unless the
licensee has obtained and maintains in effect at all times a
corporate surety bond issued by a bonding company or insurance
company authorized to do business in this state. The bond shall be
in favor of the superintendent and in the penal sum of at least
one hundred thousand dollars, or in the case of a nonprofit
corporation that is incorporated under Chapter 1702. of the
Revised Code, in the amount of fifty thousand dollars. The term of
the bond shall coincide with the term of the license. The licensee
shall file a copy of the bond with the superintendent. The bond
shall be for the exclusive benefit of any borrower injured by a
violation by a licensee or any employee of a licensee, of any
provision of sections 1321.35 to 1321.48 of the Revised Code.
Sec. 1321.38. (A) A license issued by the
superintendent of
financial
institutions pursuant to sections 1321.35 to 1321.48 of
the Revised Code shall
state the
address at which the business of
making loans is to be
conducted
and shall state the full name of
the
business. Each license issued shall be conspicuously posted in
the
place of business and is not
transferable or assignable.
(B)(1) Not more than one place of business
shall be
maintained under the same license issued under sections 1321.35 to
1321.48 of the Revised Code, but the
superintendent may issue
additional licenses to the same applicant upon compliance with
those
sections.
(2) No change in the place of business of a licensee to a
location outside the original
municipal
corporation shall be
permitted under the same
license. When a licensee wishes to change
its
place of
business within the same municipal corporation,
written
notice
thereof shall be given in advance to the
superintendent
who shall
provide without cost a license pursuant
to sections 1321.35 to 1321.48 of the Revised Code for the new
address.
Sec. 1321.39. A licensee under
sections 1321.35 to 1321.48
of
the Revised
Code may engage in the
business of making loans
provided
that each loan meets all of the
following conditions:
(A) The total amount of the loan does not exceed five hundred
dollars.
(B) The duration of the loan, as specified in the loan
contract required under division (C) of this section, is not less
than thirty-one days.
(C) The loan is made pursuant to a written loan contract
that
sets forth the terms and conditions of the loan. A copy of the
loan contract shall be provided to the borrower. The loan contract
shall disclose in
a clear and concise manner all of the
following:
(1) The total amount of fees and charges the
borrower will
be required to pay in connection with the loan
pursuant to the
loan contract;
(2) The total amount of each payment, when each
payment is
due, and the total number of payments that the
borrower will be
required to make under the loan contract;
(3) A statement, printed in boldface type of the
minimum
size of ten points, as follows: "WARNING: The cost of this loan is
higher than the average cost
charged by financial institutions on
substantially
similar
loans."
(4) A statement, printed in a minimum font size of ten
points, which informs the borrower that complaints regarding the
loan or lender may be submitted to the department of commerce
division of financial institutions and includes the correct
telephone number and mailing address for the department;
(5) Any disclosures required under the "Truth in Lending
Act," 82 Stat. 146 (1974), 15 U.S.C. 1601, et seq.;
(6) The rate of interest contracted for under the
loan
contract as an annual
percentage
rate based on the sum of the
principal of the loan
and the loan
origination fee, check
collection charge, and all
other fees or
charges contracted for
under the loan contract.
(D) The loan contract includes a provision that offers the
borrower an optional extended payment plan that may be
invoked by
the borrower at any time before the maturity date of
the loan. To
invoke the extended payment plan, the borrower shall
return to
the office where the loan was made and sign an amendment
to the
original loan agreement reflecting the extended terms of
the
loan. The extended payment plan shall allow the borrower to repay
the balance by not less than sixty days from the original maturity
date. No additional fees or
charges may be applied to the loan
upon the borrower entering the
extended payment plan. The person
originating the loan for the
licensee shall identify verbally to
the borrower the contract
provision regarding the extended
payment plan, and the borrower
shall verify that the provision
has been identified by initialing
the contract adjacent to the
provision.
Sec. 1321.40. A person licensed
pursuant to
sections
1321.35 to 1321.48 of the
Revised Code may charge,
collect,
and
receive the following fees
and charges in connection
with a
short-term
loan:
(A) Interest calculated in compliance with 15 U.S.C. 1606,
and
not exceeding an annual percentage rate greater
than
twenty-eight per cent;
(B) One check collection charge per loan not
exceeding an
amount equal to
twenty dollars plus any amount passed
on from
other financial institutions for each check, negotiable
order of
withdrawal, share draft, or other negotiable instrument
returned
or dishonored for any reason, provided that the terms
and
conditions upon which check collection charges will be
charged to
the borrower are set forth in the written loan
contract described
in division
(C) of section 1321.39 of the Revised Code;
(C) Damages, costs, and disbursements to which the licensee
may become entitled to by law in connection
with any civil action
to
collect a loan after default.
Sec. 1321.41. No person
licensed pursuant to
sections
1321.35 to
1321.48 of the Revised Code shall do any of
the
following:
(A) Violate section 1321.36 of the Revised Code;
(B) Make a loan that does not comply with section 1321.39 of
the Revised Code;
(C) Charge, collect, or receive, directly or indirectly, any
additional fees, interest,
or charges in connection with a loan,
other than
fees and charges permitted by
section
1321.40 of the
Revised Code and costs or
disbursements to
which
the licensee
may
become
entitled to
by law in connection with
any
civil
action to
collect a loan
after default;
(D) Collect treble damages pursuant to division
(A)(1)(b)(ii)
of section 2307.61 of the Revised Code in
connection with any
civil action to collect a loan after a default due to a
check,
negotiable order of withdrawal, share draft, or other negotiable
instrument that was returned or dishonored for insufficient funds;
(E) Make a short-term loan to a borrower if there exists an
outstanding
loan
between
the licensee and that
borrower, if a
loan between any licensee and that borrower was terminated on the
same business day, if the borrower has more than one outstanding
loan, if the loan would obligate the borrower to repay a total
amount of more than five hundred dollars to licensees, or indebt
the borrower, to licensees, for an amount that is more than
twenty-five per cent of the borrowers gross monthly salary not
including bonus, overtime, or other such compensation, based on a
payroll verification statement presented by the borrower;
(F) Bring or threaten to bring an action or complaint against
the borrower for the borrower's failure to comply with the terms
of the loan contract solely due to the check, negotiable order of
withdrawal, share draft, or negotiable instrument being returned
or dishonored for insufficient funds. Nothing herein prohibits
such conduct, action, or complaint if the borrower has
intentionally engaged in fraud by, including but not limited to,
closing or using any closed or false account to evade payment;
(G) Make a short-term loan to a borrower for purposes of
retiring an
existing short-term loan between any licensee and
that
borrower;
(H) Require the borrower to waive the borrower's right to
legal recourse under any otherwise applicable provision of state
or federal law;
(I) Accept the title of a vehicle, real property, physical
assets, or other collateral as
security for the obligation;
(J) Engage in any device or subterfuge to evade the
requirements of sections 1321.35 to 1321.48 of the Revised Code
including assisting a borrower to obtain a loan on terms that
would be prohibited by sections 1321.35 to 1321.48
of the Revised
Code, making loans disguised as personal property
sales and
leaseback transactions, or disguising loan proceeds as
cash
rebates for the pretextual installment sale of goods or
services;
(K) Assess or charge a borrower a fee for prepaying the loan
in full prior to the maturity date;
(L) Fail to comply with section 1321.45 of the Revised
Code;
(M) Recommend to a borrower that the borrower obtain a loan
for a dollar amount that is higher than the borrower has
requested;
(N) Make a loan to a borrower that has received two loans
within the previous ninety days from licensees, unless the
borrower has completed during that period a financial literacy
program approved by the superintendent;
(O) Draft funds electronically from any depository financial
institution in this state, or bill any credit card issued by such
an institution. Nothing in this division shall prohibit the
conversion of a negotiable instrument into an electronic form for
processing through the automated clearing house system.
(P) Make, publish, or otherwise disseminate, directly or
indirectly, any misleading or false advertisement, or engage in
any other deceptive trade practice;
(Q) Offer any incentive to a borrower in exchange for the
borrower taking out multiple loans over any period of time, or
provide a short-term loan at no charge or at a discounted charge
as compensation for any previous or future business.
(R) Make a loan to a borrower if the borrower has received a
total of four or more loans, from licensees, in the calendar year.
(S) Present a check, negotiable order of withdrawal, share
draft, or other negotiable instrument, that has been previously
presented by the licensee and subsequently returned or dishonored
for any reason, without prior written approval from the borrower.
(T) Change the check number, or in any other way alter a
check, negotiable order of withdrawal, or share draft, prior to
submitting such check, negotiable order of withdrawal, or share
draft for processing through the automated clearing house system,
or submit false information about any check, negotiable order of
withdrawal, or share draft to the automated clearing house system.
Sec. 1321.42. (A) The superintendent of financial
institutions shall, in accordance with Chapter 119. of the Revised
Code,
suspend or revoke a license
issued pursuant to sections
1321.35 to 1321.48 of the
Revised Code, if the
superintendent
determines
that either of the following applies:
(1) The licensee has failed to comply
with any order issued
by the superintendent pursuant to section 1321.43 of the Revised
Code.
(2) Any fact or condition exists that if it had existed
or
had been known to exist at the time of original or renewal
licensure pursuant to sections 1321.35 to
1321.48 of the
Revised
Code, the fact or condition clearly would
have warranted the
superintendent to refuse to issue a license
pursuant to those
sections.
(B) The superintendent may make any investigation and
conduct any hearing the superintendent considers necessary to
determine whether any person has violated sections 1321.35 to
1321.48 of the Revised Code, or any rule or order adopted or
issued under section 1321.43 of the Revised Code, or has otherwise
engaged
in conduct that would justify the suspension, revocation,
or
refusal of an original or renewal license or the imposition of
a fine.
The superintendent may impose a monetary fine of not more
than one thousand dollars for each such violation.
(C) In making any investigation or conducting any hearing
pursuant to this section, the superintendent, or any person
designated by the superintendent, at any time may compel by
subpoena witnesses, may take depositions of witnesses residing
without the state in the manner provided for in civil actions, pay
any witnesses the fees and mileage for their attendance provided
for witnesses in civil actions, and administer oaths. The
superintendent also may compel by order or subpoena duces tecum
the production of, and examine, all relevant books, records,
accounts, and other documents. If a person does not comply with a
subpoena or subpoena duces tecum, the superintendent may apply to
the court of common pleas of Franklin county for an order
compelling the person to comply with the subpoena or subpoena
duces tecum or, for failure to do so, an order to be held in
contempt of court.
(D) In connection with any investigation under this section,
the superintendent may file an action in the court of common pleas
of Franklin county or the court of common pleas of the county in
which the person who is the subject of the investigation resides,
or is engaging in or proposing to engage in actions in violation
of sections 1321.35 to 1321.48 of the Revised Code, to obtain an
injunction, temporary restraining order, or other appropriate
relief.
Sec. 1321.421. As often as the superintendent considers it
necessary,
the
superintendent may examine the records of a
licensee, but in
any case, the superintendent shall examine the
records of a
licensee at least annually.
Sec. 1321.422. (A) Every licensee shall keep and use in the
licensee's business such books, accounts, records, and loan
documents as will
enable the division of financial institutions
to determine whether
the licensee is complying with sections
1321.35 to 1321.48 of the
Revised Code and with the orders and
rules made by the division
under those sections. Such books,
accounts, records, and loan documents shall be
segregated from
those pertaining to transactions that are not
subject to sections
1321.35 to 1321.48 of the Revised Code. Every
licensee shall
preserve the books, accounts, records, and loan documents
pertaining to loans made under sections 1321.35 to 1321.48 of the
Revised Code for at least two years after making the final entry
on, or final revision of any loan document relative to, any loan
recorded therein. Accounting systems maintained in
whole or in
part by mechanical or electronic data processing
methods that
provide information equivalent to that otherwise
required are
acceptable for this purpose.
(B)(1) As required by the superintendent of financial
institutions, each licensee shall file with the division each year
a report under oath or affirmation, on forms supplied by the
division, concerning the business and operation for the preceding
calendar year. If a licensee has more than one place of business
in this state, the licensee shall furnish a report for each
location.
(2) The division shall publish annually an analysis of the
information required under division (B)(1) of this section, but
the individual reports shall not be public records and shall not
be open to public inspection.
Sec. 1321.43. The superintendent of financial institutions,
in accordance with Chapter 119. of the Revised Code, may adopt
rules and issue specific orders to enforce and carry out the
purposes of sections 1321.35 to 1321.48 of the Revised Code. The
superintendent shall
issue a rule defining "senior officer" for
the purpose of section
1321.37 of the Revised Code. The
superintendent may adopt, amend,
and repeal substantive rules
defining with reasonable specificity
acts or practices that
violate section 1321.45 of the Revised
Code.
Sec. 1321.44. (A) A violation of section 1321.41 of the
Revised
Code is deemed an unfair or deceptive act
or practice in
violation of
section 1345.02 of the Revised Code. A
borrower
injured by
a violation of section 1321.41 of the
Revised Code
shall
have a cause of action and be entitled to the
same relief
available to a
consumer under section 1345.09 of the
Revised Code,
and all powers and remedies available to the
attorney general to
enforce sections 1345.01 to 1345.13 of the
Revised Code are
available to the attorney general to
enforce
section 1321.41 of
the Revised Code.
(B) The superintendent of financial institutions or a
borrower may bring directly an action to enjoin a violation of
sections 1321.35 to 1321.48 of the Revised Code. The prosecuting
attorney of the county in which the action may be brought may
bring an action to enjoin a violation of sections 1321.35 to
1321.48 of the Revised Code only if the prosecuting attorney first
presents any evidence of the violation to the attorney general
and, within a reasonable period of time, the attorney general has
not agreed to bring the action.
(C) The superintendent may initiate criminal proceedings
under sections 1321.35 to 1321.48 of the Revised Code by
presenting any evidence of criminal violation to the prosecuting
attorney of the county in which the offense may be prosecuted. If
the prosecuting attorney does not prosecute the violations, or at
the request of the prosecuting attorney, the superintendent shall
present any evidence of criminal violations to the attorney
general, who may proceed in the prosecution with all the rights,
privileges, and powers conferred by law on prosecuting attorneys,
including the power to appear before grand juries and to
interrogate witnesses before such grand juries. These powers of
the attorney general are in addition to any other applicable
powers of the attorney general.
(D) The prosecuting attorney of the county in which an
alleged offense may be prosecuted may initiate criminal
proceedings under sections 1321.35 to 1321.48 of the Revised Code.
(E) In order to initiate criminal proceedings under sections
1321.35 to 1321.48 of the Revised Code, the attorney general first
shall present any evidence of criminal violations to the
prosecuting attorney of the county in which the alleged offense
may be prosecuted. If, within a reasonable period of time, the
prosecuting attorney has not agreed to prosecute the violations,
the attorney general may proceed in the prosecution with all the
rights, privileges, and powers described in division (B) of
this
section.
(F) When a judgment under this section becomes final, the
clerk of court shall mail a copy of the judgment, including
supporting opinions, to the superintendent.
Sec. 1321.45. (A) As used in this section:
(1) "Debt collector" means a licensee, officer, employee, or
agent of a licensee, or any person acting as a debt collector for
a licensee, or any person while serving or attempting to serve
legal process on any other person in connection with the judicial
enforcement of any debt resulting from a short-term loan made by a
licensee.
(2) "Borrower" means a person who has an outstanding or
delinquent short-term loan. For the purpose of this section, the
term "borrower" includes the borrower's spouse, parent, if the
borrower is a minor, guardian, executor, or administrator.
(3) "Communication" means the conveying of information
regarding a debt directly or indirectly to any person through any
medium.
(4) "Consumer reporting agency" means any person that, for
monetary fees, dues, or on a cooperative nonprofit basis,
regularly engages in whole or in part in the practice of
assembling or evaluating consumer credit information or other
information on consumers for the purpose of furnishing consumer
reports to third parties and that uses any means or facility for
the purpose of preparing or furnishing consumer reports.
(5) "Location information" means a consumer's residence,
telephone number, or place of employment.
(B) When communicating with any person other than the
borrower for the purpose of acquiring location information about
the borrower, the debt collector shall identify self, state that
the purpose for the communication is to confirm or correct
location information concerning a person, and, only if expressly
requested, identify the debt collector's employer. The debt
collector shall not do any of the following:
(1) State that the person for whom location information is
being sought is a borrower or owes any debt;
(2) Communicate with any person more than once unless
requested to do so by such person or unless the debt collector
reasonably believes that the earlier response of such person is
erroneous or incomplete and that such person now has correct or
complete location information;
(3) Communicate by post card;
(4) Use any language or symbol on any envelope or in the
contents of any communication effected by the mails or telegram
that indicates that the communication relates to the collection of
a debt;
(5) After the debt collector knows the borrower is
represented by an attorney with regard to the subject debt and has
knowledge of, or can readily ascertain, such attorney's name and
address, not communicate with any person other than that attorney,
unless the attorney fails to respond within a reasonable period of
time to communication from the debt collector.
(C) A debt collector, without the prior consent of the
borrower given directly to the debt collector or without the
express permission of a court of competent jurisdiction, may not
communicate with a borrower in connection with the collection of
any debt:
(1) At any unusual time or place or a time or place known or
which should be known to be inconvenient to the borrower. In the
absence of knowledge of circumstances to the contrary, a debt
collector shall assume that the convenient time for communicating
with a borrower is after eight a.m. eastern standard time and
before nine p.m. eastern standard time at the borrower's location.
(2) If the debt collector knows the borrower is represented
by an attorney with respect to such debt and has knowledge of, or
can readily ascertain, such attorney's name and address, unless
the attorney fails to respond within a reasonable period of time
to a communication from the debt collector or unless the attorney
consents to direct communication with the borrower;
(3) At the borrower's place of employment if the debt
collector knows or has reason to know that the borrower's employer
prohibits the borrower from receiving such communication.
(D) A debt collector, when communicating with a third party
without the prior consent of the borrower given directly to the
debt collector, or without the express permission of a court of
competent jurisdiction, or as reasonably necessary to effectuate a
postjudgment judicial remedy, may not communicate, in connection
with the collection of any debt, with any person other than the
borrower, the borrower's attorney, a consumer reporting agency if
otherwise permitted by law, or the attorney of the debt collector.
(E) If a borrower provides written notification, to a person
licensed under section 1321.35 to 1321.48 of the Revised Code or a
debt collector, that the borrower refuses to pay a debt or that
the borrower wishes the debt collector to cease further
communication with the borrower, the debt collector shall not
communicate further with the borrower with respect to such debt,
except:
(1) To advise the borrower that the debt collector's further
efforts are being terminated;
(2) To notify the borrower that the debt collector or
licensee may invoke specified remedies that are ordinarily invoked
by such debt collector or licensee;
(3) Where applicable, to notify the borrower that the debt
collector or licensee intends to invoke a specified remedy. If
such notice from the borrower is made by mail, notification shall
be complete upon receipt.
(F) A debt collector may not engage in any conduct the
natural consequence of which is to harass, oppress, or abuse any
person in connection with the collection of a debt, including, but
not limited to, any of the following:
(1) Using or threatening to use violence or other criminal
means to harm the physical person, reputation, or property of any
person;
(2) Using obscene or profane language or language the natural
consequence of which is to abuse the hearer or reader;
(3) Publication of a list of borrowers who allegedly refuse
to pay debts, except to a consumer-reporting agency;
(4) Causing a telephone to ring or engaging any person in
telephone conversation repeatedly or continuously with intent to
annoy, abuse, or harass any person at the called number.
(G) A debt collector may not use any false, deceptive, or
misleading representation or means in connection with the
collection of any debt, including, but not limited to, any of the
following:
(1) Falsely representing or implying that the debt collector
is vouched for, bonded by, or affiliated with the United States or
any state, including the use of any badge, uniform, or facsimile
thereof;
(2) Falsely representing the character, amount, or legal
status of any debt, or any services rendered, or compensation
which may be lawfully received by any debt collector for the
collection of a debt;
(3) Falsely representing or implying that any individual is
an attorney or that any communication is from an attorney;
(4) Representing or implying that nonpayment of any debt will
result in the arrest or imprisonment of any person or the seizure,
garnishment, attachment, or sale of any property or wages of any
person unless such action is lawful and the debt collector intends
to take such action;
(5) Threatening to take any action that cannot legally be
taken or that is not intended to be taken;
(6) Falsely representing or implying that a sale, referral,
or other transfer of any interest in a debt shall cause the
borrower to lose any claim or defense to payment of the debt;
(7) Falsely representing or implying that the borrower
committed any crime or other conduct in order to disgrace the
borrower;
(8) Communicating or threatening to communicate to any person
credit information that is known or that should be known to be
false, including the failure to communicate that a disputed debt
is disputed;
(9) Using or distributing any written communication that
simulates or is falsely represented to be a document authorized,
issued, or approved by any court, official, or agency of the
United States or any state, or that creates a false impression as
to its source, authorization, or approval;
(10) Using any false representation or deceptive means to
collect or attempt to collect any debt or to obtain information
concerning a borrower;
(11) Failing to disclose in the initial written communication
with the borrower, and in addition, if the initial communication
with the borrower is oral, in that initial oral communication,
that the debt collector is attempting to collect a debt and that
any information obtained will be used for that purpose, and the
failure to disclose in subsequent communications that the
communication is from a debt collector, except that division
(G)(11) of this section shall not apply to a formal pleading made
in connection with a legal action;
(12) Falsely representing or implying that accounts have been
turned over to innocent purchasers for value;
(13) Falsely representing or implying that documents are
legal process;
(14) Using any business, company, or organization name other
than the true name of the debt collector's business, company, or
organization;
(15) Falsely representing or implying that documents are not
legal process forms or do not require action by the consumer;
(16) Falsely representing or implying that a debt collector
operates or is employed by a consumer reporting agency.
(H) A debt collector may not use unfair or unconscionable
means to collect or attempt to collect any debt, including, but
not limited to, any of the following:
(1) Collecting any amount, including any interest, fee,
charge, or expense incidental to the principal obligation, unless
the amount is expressly authorized by the agreement creating the
debt or permitted by law;
(2) Accepting from any person a check or other payment
instrument postdated by more than five days unless the person is
notified in writing of the debt collector's intent to deposit the
check or instrument not more than ten nor less than three business
days prior to deposit;
(3) Soliciting any postdated check or other postdated payment
instrument for the purpose of threatening or instituting criminal
prosecution;
(4) Depositing or threatening to deposit any postdated check
or other postdated payment instrument prior to the date on the
check or instrument;
(5) Causing charges to be made to any person for
communications by concealment of the true purpose of the
communication. The charges include, but are not limited to,
collect telephone calls and telegram fees;
(6) Taking or threatening to take any nonjudicial action to
effect dispossession or disablement of property if there is no
present right to possession of the property claimed as collateral
through an enforceable security interest, there is no present
intention to take possession of the property, or the property is
exempt by law from dispossession or disablement;
(7) Communicating with a borrower regarding a debt by post
card;
(8) Using any language or symbol, other than the debt
collector's address, on any envelope when communicating with a
borrower by use of the mails or by telegram, except that a debt
collector may use the collector's business name if the name does
not indicate that the collector is in the debt collection
business;
(9) Designing, compiling, and furnishing any form knowing
that the form would be used to create the false belief in a
borrower that a person other than the licensee is participating in
the collection of or in an attempt to collect a debt the borrower
allegedly owes the creditor, when in fact the person is not so
participating.
(I) In addition to the requirements of this section, a debt
collector shall follow the practices set forth in the federal
"Fair Debt Collection Practices Act," 91 Stat. 874 (1977),
sections 15 U.S.C. 1692b, 15 U.S.C. 1692c, 15 U.S.C. 1692d, 15
U.S.C. 1692e, and 15 U.S.C. 1692f, as those sections of federal
law exist on the effective date of this section. In the event of a
conflict between described practices in the federal act and
described practices in this section, this section shall prevail.
Sec. 1321.46. (A) If more than four hundred
persons
are
licensed under sections 1321.35 to 1321.48 of the
Revised
Code
at any point after September 1, 2009, the
superintendent of
financial
institutions shall develop and make a
statewide
common database,
as implemented by the superintendent,
accessible
at all times to
persons licensed under sections
1321.35 to 1321.48 of the Revised
Code and to the
superintendent
through an internet connection.
Licensees shall
use the database
to determine if a
borrower is
eligible for a loan.
Licensees
shall
submit the
required data
in a format as the
superintendent
prescribes by
rule, and
verify eligibility
before
entering into
each loan
transaction.
(B) If a statewide common database is developed pursuant to
division (A) of this section, the superintendent shall adopt rules
to administer and
enforce this section and to ensure that the
database is used by
licensees in accordance with this section,
including:
(1) A rule requiring that data are retained in the database
only as required to ensure licensee compliance with this section;
(2) A rule requiring that identifying borrower information is
deleted from the database on a regular and routine basis, twelve
months after
the transaction is closed;
(3) A rule authorizing the archiving of deleted data, should
the superintendent determine that archiving is necessary for the
enforcement of this section;
(4) A rule prohibiting the database from ranking the credit
worthiness of a borrower and limiting the database so that it may
only be used to determine a borrower's eligibility or
ineligibility for a loan based on
the provisions of this chapter;
(5) A rule requiring that data collected pursuant to this
section be used only as prescribed in this section and for no
other purpose;
(6) A rule authorizing the database operator to impose a per
transaction fee to be paid by the licensee for data
required to
be submitted;
(7) A rule prohibiting the database operator from including,
in the database, the social security number of any borrower.
(C) The database operator, whether the superintendent or a
third party selected by the superintendent pursuant to Chapter
125. of the Revised Code, shall do all of the following:
(1) Establish and maintain a process for responding to
transaction verification requests due to technical difficulties
with the database that prevent the licensee from accessing the
database through the internet;
(2) Provide accurate and secure receipt, transmission, and
storage of borrower data;
(3) Designate a transaction as closed within one business day
of receiving notification from a licensee;
(4) Take all reasonable measures to ensure the
confidentiality of the database and to prevent identity theft.
(D) A licensee may rely on the information
contained in the
database as accurate and is not subject to any
administrative
penalty or civil liability as a result of relying
on inaccurate
information contained in the database.
(E) With respect to the database prescribed in division (A)
of this section, any information submitted for incorporation into
the database, information in the database itself, or archived
information as maintained by the superintendent pursuant to this
section is not a public record under section 149.43 of the Revised
Code.
(F) If approved by the superintendent, the database operator
may impose a per transaction fee for the actual costs of entering,
accessing, and maintaining data in the database. The fee shall be
payable to the database operator in a manner prescribed by the
superintendent. A licensee may not charge a customer all or part
of
the fee.
Sec. 1321.461. (A) If a statewide common database is not
developed under section 1321.46 of the Revised Code, each licensee
shall subscribe to, report to, and use an electronic database
tracking service that permits the licensee to determine whether
the borrower has an outstanding unpaid check or debit
authorization that is, or reasonably appears to be, connected to a
short-term loan. In the absence of an electronic database tracking
service, each licensee shall require a borrower to sign a written
declaration confirming that, pursuant to section 1321.41 of the
Revised Code, the borrower is eligible to receive a loan.
(B) The records of a licensee and any electronic database
tracking service shall be subject to review and examination by the
division of financial institutions to determine whether the
licensee is complying with this section and other applicable
provisions of sections 1321.35 to 1321.48 of the Revised Code.
Sec. 1321.47. (A) A person licensed, and any person required
to be
licensed under sections 1321.35 to 1321.48 of the Revised
Code, in
addition to duties imposed by other statutes or common
law, shall
do all of the following:
(1) Follow reasonable and lawful instructions from the
borrower;
(2) Act with reasonable skill, care, and diligence;
(3) Act in good faith and fair dealing in any transaction or
practice or course of business in connection with a short-term
loan.
(B) The duties and standards of care created in this section
may not be waived or modified.
(C) A borrower injured by a violation of this section may
bring an action for recovery of damages. Damages awarded shall not
be less than all compensation paid directly or indirectly to a
licensee from any source, plus reasonable attorney's fees and
court costs. The borrower may be awarded punitive damages.
Sec. 1321.48. (A)
The superintendent of financial
institutions
shall report semiannually to the governor and the
general assembly
on the operations of the division of financial
institutions with
respect to the following:
(1) Enforcement actions instituted by the superintendent for
a violation of or failure to comply with any provision of sections
1321.35 to 1321.48 of the Revised Code, and the final dispositions
of each such enforcement action;
(2) Suspensions, revocations, or refusals to issue or renew
licenses under sections 1321.35 to 1321.48 of the Revised Code.
(B) The information required under divisions (A)(1) and (2)
of this section does not include information that, pursuant to
division (C) of this section, is confidential.
(C) The following information is confidential:
(1) Examination information, and any information leading to
or arising from an examination;
(2) Investigation information, and any information arising
from or leading to an investigation.
(D) The information described in division (A)(1) of this
section shall remain confidential for all purposes except when it
is necessary for the superintendent to take official action
regarding the affairs of a licensee, or in connection with
criminal or civil proceedings to be initiated by a prosecuting
attorney or the attorney general. This information also may be
introduced into evidence or disclosed when, and in the manner,
authorized by section 1181.25 of the Revised Code.
(E) All application information, except social security
numbers, employer identification numbers, financial account
numbers, the identity of the institution where financial accounts
are maintained, personal financial information, fingerprint cards
and the information contained on such cards, and criminal
background information, is a public record as defined in section
149.43 of the Revised Code.
(F) This section does not prevent the division from releasing
information relating to licensees to the attorney general for
purposes of that office's administration of Chapter 1345. of the
Revised Code. Information the division releases to the attorney
general pursuant to this section remains privileged and
confidential, and the attorney general may not disclose the
information except by introduction into evidence in connection
with the attorney general's administration of Chapter 1345. of the
Revised Code or as authorized by the superintendent.
Sec. 1321.99. (A) Whoever violates section 1321.02 of the
Revised Code is guilty of a felony of the fifth degree.
(B) Whoever violates section 1321.13 of the Revised Code
shall be fined not less than one hundred nor more than five
hundred dollars or imprisoned not more than six months, or both.
(C) Whoever violates section 1321.14 of the Revised Code
shall be fined not less than fifty nor more than two hundred
dollars for a first offense; for a second offense such person
shall be fined not less than two hundred nor more than five
hundred dollars and imprisoned for not more than six months.
(D) Whoever willfully violates section 1321.57, 1321.58,
1321.59, or 1321.60 of the Revised Code shall be fined not less
than one nor more than five hundred dollars.
(E) Whoever violates section 1321.52 of the Revised Code
is
guilty of a felony of the fifth degree.
(F) Whoever violates division (A) of section 1321.73 of
the
Revised Code shall be fined not more than five hundred
dollars or
imprisoned not more than six months, or both.
(G) Whoever violates section 1321.41 of the Revised Code is
guilty of a misdemeanor of the first degree.
Sec. 1345.01. As used in sections 1345.01 to 1345.13 of
the
Revised Code:
(A) "Consumer transaction" means a sale, lease,
assignment,
award by chance, or other transfer of an item of
goods, a service,
a franchise, or an intangible, to an individual
for purposes that
are primarily personal, family, or household,
or solicitation to
supply any of these things. "Consumer
transaction" does not
include transactions between persons, defined in sections 4905.03
and 5725.01 of the Revised Code, and
their customers, except for
transactions involving a loan made pursuant to sections 1321.35 to
1321.48 of the Revised Code and transactions in connection with
residential mortgages between loan officers, mortgage brokers, or
nonbank mortgage lenders and their customers; transactions between
certified public
accountants or public accountants and their
clients; transactions
between attorneys, physicians, or dentists
and their clients or
patients; and transactions between
veterinarians and their
patients that pertain to medical treatment
but not ancillary
services.
(B) "Person" includes an individual, corporation,
government,
governmental subdivision or agency, business trust,
estate, trust,
partnership, association, cooperative, or other
legal entity.
(C) "Supplier" means a seller, lessor, assignor,
franchisor,
or other person engaged in the business of effecting
or soliciting
consumer transactions, whether or not the
person deals directly
with the consumer. If the consumer transaction is in connection
with a residential mortgage, "supplier" does not include an
assignee or purchaser of the loan for value, except as otherwise
provided in section 1345.091 of the Revised Code. For purposes of
this division, in a consumer transaction in connection with a
residential mortgage, "seller" means a loan officer, mortgage
broker, or nonbank mortgage lender.
(D) "Consumer" means a person who engages in a consumer
transaction with a supplier.
(E) "Knowledge" means actual awareness, but such actual
awareness may be inferred where objective manifestations indicate
that the individual involved acted with such awareness.
(F) "Natural gas service" means the sale of natural gas,
exclusive of any distribution or ancillary service.
(G) "Public telecommunications service" means the
transmission by electromagnetic or other means,
other than by a
telephone company as defined in section 4927.01 of the Revised
Code,
of
signs, signals, writings, images, sounds, messages, or
data originating
in this state regardless of actual
call routing.
"Public telecommunications service" excludes a
system, including
its construction, maintenance, or operation, for
the provision of
telecommunications service, or any portion of
such service, by any
entity for the sole and exclusive use of that
entity, its parent,
a subsidiary, or an affiliated entity, and not
for resale,
directly or indirectly; the provision of terminal
equipment used
to originate telecommunications
service; broadcast transmission by
radio, television, or satellite
broadcast stations regulated by
the federal government; or cable
television service.
(H) "Loan officer" has the same meaning as in section 1322.01
of the Revised Code, except that it does not include an employee
of a bank, savings bank, savings and loan association, credit
union, or credit union service organization organized under the
laws of this state, another state, or the United States; an
employee of a subsidiary of such a bank, savings bank, savings and
loan association, or credit union; or an employee of an affiliate
that (1) controls, is controlled by, or is under common control
with, such a bank, savings bank, savings and loan association, or
credit union and (2) is subject to examination, supervision, and
regulation, including with respect to the affiliate's compliance
with applicable consumer protection requirements, by the board of
governors of the federal reserve system, the comptroller of the
currency, the office of thrift supervision, the federal deposit
insurance corporation, or the national credit union
administration.
(I) "Residential mortgage" or "mortgage" means an obligation
to pay a
sum of money evidenced by a note and secured by a lien
upon real
property located within this state containing two or
fewer
residential units or on which two or fewer residential units
are
to be constructed and includes such an obligation on a
residential condominium or cooperative unit.
(J) "Mortgage broker" has the same meaning as in section
1322.01 of the Revised Code, except that it does not include a
bank, savings bank, savings and loan association, credit union, or
credit union service organization organized under the laws of this
state, another state, or the United States; a subsidiary of such a
bank, savings bank, savings and loan association, or credit union;
an affiliate that (1) controls, is controlled by, or is under
common control with, such a bank, savings bank, savings and loan
association, or credit union and (2) is subject to examination,
supervision, and regulation, including with respect to the
affiliate's compliance with applicable consumer protection
requirements, by the board of governors of the federal reserve
system, the comptroller of the currency, the office of thrift
supervision, the federal deposit insurance corporation, or the
national credit union administration; or an employee of any such
entity.
(K) "Nonbank mortgage lender" means any person that engages
in a consumer transaction in connection with a residential
mortgage, except for a bank, savings bank, savings and loan
association, credit union, or credit union service organization
organized under the laws of this state, another state, or the
United States; a subsidiary of such a bank, savings bank, savings
and loan association, or credit union; or an affiliate that (1)
controls, is controlled by, or is under common control with, such
a bank, savings bank, savings and loan association, or credit
union and (2) is subject to examination, supervision, and
regulation, including with respect to the affiliate's compliance
with applicable consumer protection requirements, by the board of
governors of the federal reserve system, the comptroller of the
currency, the office of thrift supervision, the federal deposit
insurance corporation, or the national credit union
administration.
(L) For purposes of divisions (H), (J), and (K) of this
section:
(1) "Control" of another entity means ownership, control, or
power to vote twenty-five per cent or more of the outstanding
shares of any class of voting securities of the other entity,
directly or indirectly or acting through one or more other
persons.
(2) "Credit union service organization" means a CUSO as
defined in 12 C.F.R. 702.2.
Sec. 1349.71. (A) There is hereby created a consumer finance
education board, consisting of the following twelve members,
appointed jointly by the governor, the speaker of the house of
representatives, and the president of the senate with the advice
and consent of the house and senate. One member shall be appointed
from, or as a representative of, each of the following:
(1) The An employee of the Ohio attorney general's office,
appointed by the governor;
(2) The An employee of the department of commerce, appointed
by the governor;
(3) The An employee of the Ohio housing finance agency,
appointed by the governor;
(4) A representative of Ohio minority advocacy groups,
appointed by the governor;
(5) The A member of the Ohio bankers league, appointed by the
speaker of the house of representatives;
(6) The A member of the Ohio mortgage bankers association,
appointed by the speaker of the house of representatives;
(7) The A member of the Ohio credit union league, appointed
by the speaker of the house of representatives;
(8) A member of the Ohio community bankers association,
appointed by the speaker of the house of representatives;
(9) The A representative of the Ohio real estate industry,
appointed by the president of the senate;
(10) The A member of the Ohio mortgage brokers association,
appointed by the president of the senate;
(11) The A representative of the financial services industry,
appointed by the president of the senate;
(12) Consumer A representative of consumer advocacy
organizations, appointed by the president of the senate.
(B) Geographically diverse representation of the state shall
be considered in making appointments. Of the initial appointments
to the board, four shall be for a term ending December 31, 2008,
four shall be for a term ending December 31, 2009, and four shall
be for a term ending December 31, 2010. Thereafter, terms of
office are for three years, commencing on the first day of January
and ending on the thirty-first day of December. Each member shall
hold office from the date of the member's appointment until the
end of the term for which the member is appointed. Prior to
assuming the duties of office, each member shall subscribe to, and
file with the secretary of state, the constitutional oath of
office. Vacancies that occur on the board shall be filled in the
manner prescribed for regular appointments to the board. A member
appointed to fill a vacancy occurring prior to the expiration of
the term for which the member's predecessor was appointed shall
hold office for the remainder of that predecessor's term. A member
shall continue in office subsequent to the expiration date of the
member's term until the member's successor takes office or until
sixty days have elapsed, whichever occurs first. No person shall
serve as a member of the board for more than two consecutive
terms. The governor may remove a member pursuant to section 3.04
of the Revised Code.
(C) Annually, upon the qualification of the members appointed
in that year, the board shall organize by selecting from its
members a chairperson. The board shall meet at least once each
calendar quarter to conduct its business with the place of future
meetings to be decided by a vote of its members. Each member shall
be provided with written notice of the time and place of each
board meeting at least ten days prior to the scheduled date of the
meeting. A majority of the members of the board constitutes a
quorum to transact and vote on all business coming before the
board.
(D)(1) The governor shall call the first meeting of the
consumer finance education board. At that meeting, and annually
thereafter, the board shall elect a chairperson for a one-year
term and may elect members to other positions on the board as the
board considers necessary or appropriate.
(2) Each member of the board shall receive an amount fixed
pursuant to division (J) of section 124.15 of the Revised Code for
each day employed in the discharge of the member's official
duties, and the member's actual and necessary expenses incurred in
the discharge of those duties.
(E) The board may obtain services from any state agency,
including, but not limited to, the department of commerce or its
successor agency.
(F) The board shall assemble an advisory committee of
representatives from the following organizations or groups for the
purpose of receiving recommendations on policy, rules, and
activities of the board:
(1) The department of aging;
(2) The department of rehabilitation and correction;
(3) The department of development;
(4) The department of job and family services;
(5) The Ohio treasurer of state's office;
(6) The county treasurers association of Ohio;
(7) Ohio college professors;
(8) Ohio university professors;
(9) The Ohio board of regents;
(10) The Ohio community development corporations association;
(11) The Ohio council for economic education;
(12) The Ohio state university extension service.
Sec. 1349.72. (A) In addition to any other duties imposed on
the consumer finance education board by section 1349.71 of the
Revised Code, the board shall:
(1) Analyze and investigate, on its own initiative, the
policies and practices of state agencies, nonprofit entities, and
businesses, inasmuch as such policies and practices address
financial literacy, access by state residents to financial
information, education, and resources, prevention of foreclosures
and bankruptcies, and prepurchase and postpurchase counseling and
education for homebuyers, and small loan counseling and
education
for borrowers;
(2) Provide an annual report and consultation and
recommendations to the governor, the general assembly, state
agencies, nonprofit entities, and businesses based on the board's
findings;
(3) Coordinate and provide resources and assistance to state
agencies, nonprofit entities, and businesses in the furtherance of
those entities' efforts to improve financial literacy, access by
state residents to financial information, education, and
resources, prevention of foreclosures and bankruptcies, and
prepurchase and postpurchase counseling and education for
homebuyers, and small loan counseling and education for
borrowers.
(4) Provide financial assistance to Ohioans through grants
funded through the consumer finance fund created under section
1321.21 of the Revised Code and utilize these same funds to
provide grants to design, develop, and implement any other
programs described in this section.
(5) Receive grants from the consumer finance fund for the
implementation of this section.
(B) The board may assign and delegate the execution of its
duties to smaller groups of its own members, which shall include
committees specifically chartered to address all of the following
issues:
(1) The needs of persons, ages eighteen to twenty-five, in
the context of the objectives enumerated in division (A) of this
section;
(2) The needs of persons, classified as needy, based on a
household adjusted gross income equal to or less than two hundred
per cent of the poverty level, as determined by the Ohio office of
budget and management, or the earned income amount described in
section thirty-two of the Internal Revenue Code of 1986, taking
into account the size of the household, in the context of the
objectives enumerated in division (A) of this section;
(3) The needs of persons, previously convicted of one or more
felonies, in the context of the objectives enumerated in division
(A) of this section;
(4) The needs of persons, characterized as vulnerable by
reason of advanced age, disability, minority, or other demographic
consideration, in the context of the objectives enumerated in
division (A) of this section;
(5) Any other group or issue identified by the board as
worthy of particular attention.
(C) The board shall create a pilot financial literacy and
counseling program funded through the consumer finance fund, to be
operated in the five counties with the highest mortgage
foreclosure rates as of the effective date of this section the
effective date of this amendment, and completion of which shall be
recommended by mortgage
brokers and loan officers for any
consumer seeking a mortgage loan
with origination fees greater
than five per cent. Before a
mortgage broker permits a consumer
to commit to such a loan, the
broker shall notify the consumer
that the loan may have attributes
that are predatory. No person
who offers education, advice, or
counseling through the financial
literacy and counseling program
shall be held liable for any
damages incurred from actions taken
based on the education,
advice, or counseling given.
Sec. 1733.25. (A) A credit union may make loans or other
extensions of credit to
members for provident and productive
purposes as authorized by
law, including rules adopted by the
superintendent of credit unions; the articles; and the
regulations; and subject to policies
adopted by the credit
committee and approved by the board of
directors.
(B) Upon the approval of the board of directors, a credit
union may make loans or other extensions of credit to other credit
unions, provided that loans or other extensions of credit
made to
other credit unions need not have the approval of the
board of
directors on a per case basis. The total of all such
loans or
other extensions of credit, including the aggregate of all money
paid into any trust
established by one or more credit unions for
the purpose of
making loans or other extensions of credit to other
credit unions, shall not exceed twenty-five
per cent of the shares
and undivided earnings of the lending
credit union, except that
this percentage limitation does not
apply to corporate credit
unions.
(C) The interest on any loan or other extension of
credit
made by a credit union shall
not exceed one and one-half
per cent
per month on unpaid
balances. Such interest may accrue
and be
chargeable upon a
monthly basis, and may be computed upon
the
unpaid balance of the
loan or other extension of credit as of
the
end of the previous calendar month.
Such interest may be accrued and charged by any technique
approved by the superintendent so long as the
effective interest
rate on any loan or other extension of credit does not exceed the
amount
permitted to be charged by the computation authorized in
this
division.
(D) A credit union may accept security in such form and
under
rules as shall be set forth in the articles, the
regulations, or
established by the credit committee and approved
by the board of
directors.
(E)(1) The credit union shall have a lien on the membership
share, shares, deposits, and accumulated dividends and interest of
a member in an individual, joint, trust, or payable on death
account for any obligation owed to the credit union by that member
or for any loan co-signed or guaranteed by the member or account
holder; provided, however, that a credit union shall not have a
lien upon the funds in an individual retirement account or an
account established pursuant to the Internal Revenue Code of the
United States.
(2) A credit union may refuse to allow withdrawals from any
share or deposit account by a member while the member has any
outstanding obligation to the credit union.
(F) Notwithstanding any limitation provided in any other
provision of this chapter or Chapter 1343. of the Revised Code, a
credit union may enter into a loan agreement with a member in
accordance with all of the following:
(1) The loan is for any amount up to one thousand dollars.
(2) The term of the loan is thirty days or less.
(3) The credit union may charge a fee in addition to any
interest authorized by law in connection with the loan, which fee
is not to be included in the computation of interest for any
provision of the Revised Code, including division (C) of this
section, that prescribes, regulates, or limits interest charged,
collected, or received in connection with a transaction.
(4) The total interest, fees, and other costs of the loan
does not exceed ten per cent of the principal amount.
(5) A member shall not have more than one loan under division
(F) of this section outstanding at any one time with the credit
union.
(6) The loan is not being made to a member for purposes of
retiring an existing loan between the credit union and that
member, which existing loan was made pursuant to division (F) of
this section.
(G)(1) Subject to division (G)(F)(2) of this section and any
restrictions or requirements established by the superintendent, in
connection with any loan or extension of credit, a credit union
may enter into a debt suspension agreement or debt cancellation
contract with the borrower or borrowers.
(2) A credit union shall not offer or finance, directly or
indirectly, a debt suspension agreement or debt cancellation
contract requiring a lump sum, single payment for the agreement or
contract payable at the outset of the agreement or contract, if
the debt subject to the agreement or contract is secured by one to
four family, residential real property.
(3) For purposes of division (G)(F) of this section, "debt
cancellation contract" and "debt suspension agreement" have the
same meanings as in 12 C.F.R. part 37.
Sec. 2307.61. (A) If a property owner brings a civil
action
pursuant to
division (A) of
section 2307.60 of the
Revised
Code
to
recover
damages from any person who willfully damages the
owner's
property
or who commits a theft offense, as defined in
section
2913.01 of
the Revised Code, involving the owner's
property, the
property
owner may recover as follows:
(1) In the civil action, the property owner may elect to
recover moneys as described in division (A)(1)(a) or (b) of this
section:
(a) Compensatory damages that may include, but are not
limited to, the value of the property and liquidated damages in
whichever of the following amounts applies:
(i) Fifty dollars, if the value of the property was fifty
dollars or less at the time it was willfully damaged or was the
subject of a theft offense;
(ii) One hundred dollars, if the value of the property was
more than fifty dollars, but not more than one hundred dollars,
at
the time it was willfully damaged or was the subject of a
theft
offense;
(iii) One hundred fifty dollars, if the value of the
property
was more than one hundred dollars at the time it was
willfully
damaged or was the subject of a theft offense.
(b) Liquidated damages in whichever of the following
amounts
is greater:
(i) Two hundred dollars;
(ii) Three times the value of the property at the time it
was
willfully damaged or was the subject of a theft offense,
irrespective of whether the property is recovered by way of
replevin or otherwise, is destroyed or otherwise damaged, is
modified or otherwise altered, or is resalable at its full market
price. This division does not apply to a check, negotiable order
of
withdrawal, share draft, or other negotiable instrument that
was returned or
dishonored for insufficient funds by a financial
institution if the check,
negotiable order of withdrawal, share
draft, or other negotiable instrument
was presented by an
individual borrower to a check-cashing business licensed
pursuant
to licensee under sections 1315.35 to 1315.44 1321.35 to 1321.48
of the Revised Code for a
check-cashing loan
transaction.
(2) In a civil action in which the value of the property
that
was willfully damaged or was the subject of a theft offense
is
less than five thousand dollars, the property owner may
recover
damages as described in division (A)(1)(a) or (b) of this
section
and additionally may recover the reasonable
administrative costs,
if any, of the property owner that were
incurred in connection
with actions taken pursuant to division
(A)(2) of this section,
the cost of maintaining the civil action,
and reasonable
attorney's fees, if all of the following apply:
(a) The property owner, at least thirty days prior to the
filing of the civil action, serves a written demand for payment
of
moneys as described in division (A)(1)(a) of this section and
the
reasonable administrative costs, if any, of the property
owner
that have been incurred in connection with actions taken
pursuant
to division (A)(2) of this section, upon the person who
willfully
damaged the property or committed the theft offense.
(b) The demand conforms to the requirements of division
(C)
of this section and is sent by certified mail, return receipt
requested.
(c) Either the person who willfully damaged the property
or
committed the theft offense does not make payment to the
property
owner of the amount specified in the demand within
thirty days
after the date of its service upon that person
and does not
enter
into an agreement with the property owner during that
thirty-day
period for that payment or the person who willfully
damaged the
property or committed the theft offense enters into
an agreement
with the property owner during that thirty-day
period for that
payment but does not make that payment in
accordance with the
agreement.
(B) If a property owner who brings a civil action pursuant
to
division (A) of
section 2307.60 of the Revised Code to
recover
damages for
willful damage to property or for a theft offense
attempts to
collect the reasonable administrative costs, if any,
of the
property owner that have been incurred in connection with
actions
taken pursuant to division (A)(2) of this section, the
cost of
maintaining the civil action, and reasonable attorney's
fees
under
authority of that division and if the defendant
prevails in
the
civil action, the defendant may recover from the
property
owner
reasonable attorney's fees, the cost of defending
the civil
action, and any compensatory damages that may be proven.
(C) For purposes of division (A)(2) of this section, a
written demand for payment shall include a conspicuous notice to
the person upon whom the demand is to be served that indicates
all
of the following:
(1) The willful property damage or theft offense that the
person allegedly committed;
(2) That, if the person makes payment of the amount
specified
in
the demand within thirty days after its service upon
the
person
or
enters into an agreement with the property owner
during that
thirty-day period for that payment and makes that
payment in
accordance with the agreement, the person cannot be
sued by
the
property owner in a civil action in relation to the
willful
property damage or theft offense;
(3) That, if the person fails to make payment of the amount
specified in the demand within thirty days after the date of its
service upon the person and fails to enter into an agreement for
that
payment with the property owner during that thirty-day period
or
enters into an agreement for that payment with the property
owner
during that thirty-day period but does not make that payment
in
accordance with the agreement, the person may be sued in a
civil action
in relation to the willful property damage or theft
offense;
(4) The potential judgment that the person may be required
to
pay if the person is sued in a civil action in relation to the
willful property damage or theft offense and judgment is rendered
against
the person in that civil action;
(5) That, if the person is sued in a civil action by the
property owner in relation to the willful property damage or theft
offense, if the civil action requests that the person be
required
to pay
the reasonable administrative costs, if any, of the
property
owner that have been incurred in connection with actions
taken
pursuant to division (A)(2) of this section, the cost of
maintaining the action, and reasonable attorney's fees, and if
the
person prevails in the civil action, the person
may recover from
the property
owner reasonable attorney's fees, the cost of
defending the
action, and any compensatory damages that can be
proved.
(D) If a property owner whose property was willfully
damaged
or was the subject of a theft offense serves a written
demand for
payment upon a person who willfully damaged the
property or
committed the theft offense and if the person makes
payment of the
amount specified in the demand within thirty days
after the date
of its service upon the person or the person enters into
an
agreement with the property owner during that thirty-day
period
for that payment and makes payment in accordance with the
agreement, the property owner shall not file a civil action
against the person in relation to the willful property damage or
theft offense.
(E) If a property owner whose property was willfully
damaged
or was the subject of a theft offense serves a written
demand for
payment upon a person who willfully damaged the
property or
committed the theft offense and if the person, within
thirty days
after the date of service of the demand upon the
person, enters
into an agreement with the property owner for the payment
of the
amount specified in the demand but does not make that
payment in
accordance with the agreement, the time between the
entering of
the agreement and the failure to make that payment
shall not be
computed as any part of the period within which a
civil action
based on the willful property damage or theft
offense must be
brought under the Revised Code.
(F) A civil action to recover damages for willful property
damage or for a theft offense may be joined with a civil action
that is brought pursuant to Chapter 2737. of the Revised Code to
recover the property. If the two actions are joined, any
compensatory damages recoverable by the property owner shall be
limited to the value of the property.
(G)(1) In a civil action to recover damages for willful
property damage or for a theft offense, the trier of fact may
determine that an owner's property was willfully damaged or that
a
theft offense involving the owner's property has been
committed,
whether or not any person has pleaded guilty to or has
been
convicted of any criminal offense or has been adjudicated a
delinquent child in relation to any act involving the owner's
property.
(2) This section does not affect the prosecution of any
criminal action or
proceeding or any action to obtain a delinquent
child
adjudication in connection with willful property damage or a
theft offense.
(H) As used in this section:
(1) "Administrative costs" includes the costs of written
demands for payment and associated postage under division (A)(2)
of this section.
(2) "Value of the property" means one of the following:
(a) The retail value of any property that is offered for
sale
by a mercantile establishment, irrespective of whether the
property is destroyed or otherwise damaged, is modified or
otherwise altered, or otherwise is not resalable at its full
market price;
(b) The face value of any check or other negotiable
instrument that is not honored due to insufficient funds in the
drawer's account, the absence of any drawer's account, or another
reason, and all charges imposed by a bank, savings and loan
association, credit union, or other financial institution upon
the
holder of the check or other negotiable instrument;
(c) The replacement value of any property not described in
division (H)(1) or (2) of this section.
SECTION 2. That existing sections 109.572, 135.63, 1181.05,
1181.21, 1181.25, 1315.99, 1321.02,
1321.15, 1321.21,
1321.99,
1345.01, 1349.71, 1349.72, 1733.25,
and 2307.61
of the
Revised
Code are
hereby repealed.
SECTION 3. That sections 1315.35, 1315.36,
1315.37, 1315.38,
1315.39, 1315.40, 1315.41, 1315.42, 1315.43,
and 1315.44
of the
Revised
Code are
hereby repealed.
SECTION 4. (A) All licenses issued pursuant to sections
1315.35
to 1315.44 of the Revised Code, and in effect on the date
this
section becomes effective, shall remain in effect, unless
suspended or revoked by the superintendent of financial
institutions, until such time as the license would be subject to
renewal pursuant to sections 1315.35 to 1315.44 of the Revised
Code as those sections existed prior to the effective date of this
act. The superintendent shall recognize any such license holder as
a valid license holder under sections 1321.35 to 1321.48 of the
Revised Code as enacted by this act, and such license holder
thereafter is subject to all provisions of sections 1321.35 to
1321.48 of the Revised Code.
(B) If any person licensed under sections 1315.35 to 1315.44
of the Revised Code on the effective date of this section applies
for a license to operate under sections 1321.01 to 1321.19 of the
Revised Code for the 2008 licensing period ending June 30, 2009,
that person shall pay only one-half of the license fee
provided
for under section 1321.03 of the
Revised Code.
SECTION 5. Within thirty days of the effective date of this
act, the Director of Budget and Management shall make a one-time
transfer of five per cent of the balance of the consumer finance
fund, created under section 1321.21 of the Revised Code, to the
financial literacy education fund created under section 121.085 of
the Revised Code as enacted by this act.
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