Title 37, CONSUMER LENDING

Sec. 8. With respect to a consumer credit sale, refinancing, or consolidation, the seller may by agreement with the buyer refinance the unpaid balance and may contract for and receive a credit service charge based on the amount financed resulting from the refinancing at a rate no…

Sec. 9. If a buyer owes an unpaid balance to a seller with respect to a consumer credit sale, refinancing, or consolidation, and becomes obligated on another consumer credit sale, refinancing, or consolidation with the same seller, the parties may agree to a consolidation resulti…

Sec. 1. A lender is not considered a financial institution, except for purposes of IC 28-1. [Pre-2026 Revision Citation: 24-4.5-7-112.] As added by P.L.115-2026, SEC.97.

Sec. 10. (a) An agreement with respect to a small loan may not provide for charges as a result of default by the borrower other than those specifically authorized by this chapter. A provision in a small loan agreement in violation of this section is unenforceable. (b) A lender or…

Sec. 11. (a) This section applies to licensees and unlicensed persons. (b) A person who violates this chapter: (1) is subject to the remedies provided in IC 37-2-6-9; (2) commits a deceptive act under IC 24-5-0.5 and is subject to the penalties listed in IC 24-5-0.5; (3) has no r…

Sec. 12. A lender making small loans, or an assignee of a small loan, shall not commit nor cause to be committed any of the following acts: (1) Threatening to use or using the criminal process in any state to collect on a small loan. (2) Threatening to take action against a borro…

Sec. 13. Finance charges made in compliance with this chapter are exempt from IC 37-2-4-35 and IC 35-45-7. [Pre-2026 Revision Citation: 24-4.5-7-411.] As added by P.L.115-2026, SEC.97.

Sec. 14. Upon the receipt of a check from a borrower for a small loan, unless the check is marked as void at the time of acceptance by the lender, the lender shall immediately stamp the back of the check with an endorsement that states: "This check is being negotiated as part of …

Sec. 15. (a) A person engaged in making small loans under this chapter shall post a bond to the department in the amount of fifty thousand dollars ($50,000) for each location where small loans will be made, up to a maximum bond in an amount determined by the director. (b) A suret…

Sec. 16. The department may adopt rules under IC 4-22-2 to implement this article. [Pre-2026 Revision Citation: 24-4.5-7-414.] As added by P.L.115-2026, SEC.97.

Sec. 2. (a) Finance charges on the first two hundred fifty dollars ($250) of a small loan are limited to fifteen percent (15%) of the principal. (b) Finance charges on the amount of a small loan greater than two hundred fifty dollars ($250) and less than or equal to four hundred …

Sec. 3. (a) Notwithstanding any other law, the only fee that may be contracted for and received by the lender or an assignee on a small loan is a charge, not to exceed twenty-five dollars ($25), for each: (1) return by a bank or other depository institution of a dishonored: (A) c…

Sec. 4. (a) For purposes of this section, the lender shall disclose to the borrower to whom credit is extended with respect to a small loan the information required by the Consumer Credit Protection Act (15 U.S.C. 1601 et seq.). (b) In addition to the requirements of subsection (…

Sec. 5. (a) A small loan may not be made for a term of less than fourteen (14) days. (b) If five (5) consecutive small loans have been made to a borrower after the borrower's initial small loan, another small loan may not be made to that borrower within seven (7) days after the f…

Sec. 6. (a) A lender is prohibited from making a small loan to a borrower if the total of: (1) the principal amount and finance charges of the small loan to be issued; plus (2) any other small loan balances that the borrower has outstanding with any lender; exceeds twenty percent…

Sec. 7. A small loan may not be secured by personal property other than a check or electronic debit. [Pre-2026 Revision Citation: 24-4.5-7-403.] As added by P.L.115-2026, SEC.97.

Sec. 8. (a) As used in this section, "commercially reasonable method of verification" means a private consumer credit reporting service that the department determines to be capable of providing a lender with adequate verification information necessary to ensure compliance with su…

Sec. 9. (a) This section does not apply to a business that is licensed by the department for a purpose other than consumer loans. (b) A licensee may carry on other business at a location where the licensee makes small loans unless the licensee carries on other business for the pu…

Sec. 1. In addition to any other right under law to cancel or rescind a contract, a homeowner may rescind a: (1) contract with a foreclosure consultant at any time before midnight of the seventh business day after the date the contract is signed; and (2) foreclosure reconveyance …

Sec. 2. A homeowner effectively rescinds a contract with a foreclosure consultant if the homeowner gives written notice of a rescission to the foreclosure consultant by one (1) of the following: (1) Mailing the rescission to the address specified in the contract. (2) Sending the …

Sec. 3. (a) If a notice of rescission under this chapter is sent by mail, the rescission is effective three (3) days after the notice is deposited in the United States mail, properly addressed, with postage prepaid. (b) A homeowner is not required to give notice of rescission in …

Sec. 4. (a) If a homeowner rescinds a contract with a foreclosure consultant or a foreclosure reconveyance agreement, the homeowner shall, not later than thirty (30) days after the date of rescission, repay any amounts paid or advanced by: (1) the foreclosure consultant or the fo…

Sec. 5. If a homeowner rescinds a contract with a foreclosure consultant, not less than ten (10) days following the effective date of the rescission, the consultant shall return to the homeowner any payments made by the homeowner, less any amounts for actual services rendered. [P…

Sec. 0.1. A person is not subject to a prohibition or requirement of: (1) IC 24-9-3 (before its repeal) and IC 24-9-4 (before its repeal), both as added by P.L.73-2004; or (2) this chapter and IC 37-5-4; with respect to a loan made before January 1, 2005. [Pre-2026 Revision Citat…

Sec. 1. (a) A creditor making a home loan may not finance, directly or indirectly, any: (1) credit life insurance; (2) credit disability insurance; (3) credit unemployment insurance; (4) credit property insurance; or (5) payments directly or indirectly for any cancellation suspen…

Sec. 2. (a) A creditor may not knowingly or intentionally replace or consolidate a zero (0) interest rate or other subsidized low rate loan made by a governmental or nonprofit lender with a high cost home loan within the first ten (10) years of the subsidized low rate loan unless…

Sec. 3. A creditor may not recommend or encourage default on an existing loan or other debt before and in connection with the closing or planned closing of a home loan that refinances all or part of the existing loan or debt. [Pre-2026 Revision Citation: 24-9-3-3.] As added by P.…

Sec. 4. A creditor shall treat each payment made by a borrower in regard to a home loan as posted on the same business day as the payment was received by the creditor, servicer, or creditor's agent, or at the address provided to the borrower by the creditor, servicer, or creditor…

Sec. 5. (a) A home loan agreement may not contain a provision that permits the creditor, in the creditor's sole discretion, to accelerate the indebtedness without material cause. (b) This section does not prohibit acceleration of a home loan in good faith due to the borrower's fa…

Sec. 6. (a) A creditor may not charge a fee for informing or transmitting to a person the balance due to pay off a home loan or to provide a written release upon prepayment. A creditor must provide, in writing, a payoff balance not later than seven (7) business days (excluding le…

Sec. 7. (a) As used in this section, "mortgage transaction" includes the following: (1) A home loan subject to this article. (2) To the extent allowed under federal law, a loan described in IC 37-5-1-1 that is secured by a mortgage or a land contract (or another consensual securi…

Sec. 8. A person seeking to enforce section 7(c)(3), 7(c)(4), or 7(c)(5) of this chapter may not knowingly or intentionally intimidate, coerce, or harass another person. [Pre-2026 Revision Citation: 24-9-3-8.] As added by P.L.115-2026, SEC.97.

Sec. 9. It is unlawful for a creditor to discriminate against any applicant with respect to any aspect of a credit transaction on the basis of race, color, religion, national origin, sex, marital status, or age, if the applicant has the ability to contract. [Pre-2026 Revision Cit…