Title 37, CONSUMER LENDING

Sec. 13. (a) A notice issued under this chapter must: (1) be in writing; (2) contain a statement of the facts constituting the alleged practice, violation, or breach; (3) state the facts alleged in support of the violation, practice, or breach; (4) state the director's intention …

Sec. 14. If the director enters into a consent to a final order under section 15 of this chapter with a creditor, a director, an officer, or a manager, the director is not required to issue and serve a notice of charges upon the creditor, director, officer, or manager under secti…

Sec. 15. (a) If, after a hearing described in section 13(b) of this chapter, the department finds that the conditions specified in section 12 of this chapter have been established, the department may issue a final order. If a hearing is not requested within the time specified in …

Sec. 16. (a) A final order issued under this chapter is effective on the eleventh day after service of the order. However, a final order issued upon consent under section 14 of this chapter is effective at the time specified in the order. (b) A final order remains effective and e…

Sec. 17. (a) The director or the department, as appropriate, shall consider the following factors in determining the amount of a civil penalty that should be assessed against a director or an officer in a final order issued under section 15(c)(3) of this chapter: (1) The appropri…

Sec. 18. The director may enforce any of the following by applying for appropriate relief to a court having jurisdiction: (1) An order issued under this chapter. (2) A written agreement entered into by the department or the director and any director, officer, or employee of a cre…

Sec. 19. (a) Every licensee shall maintain records in a manner that will enable the department to determine whether the licensee is complying with this article. The record keeping system of a licensee is sufficient if the licensee makes the required information reasonably availab…

Sec. 2. (a) Except as provided in subsection (b), the creditor shall comply with disclosure requirements applicable to first lien mortgage transactions in the Consumer Credit Protection Act (15 U.S.C. 1601 et seq.). (b) Disclosures are not required if the transaction is exempt fr…

creditor's duty to report transfer of securities; director's discretion to require new license Sec. 20. (a) As used in this section, "control" means possession of the power directly or indirectly to: (1) direct or cause the direction of the management or policies of a creditor, w…

Sec. 21. A creditor in a first lien mortgage transaction shall comply with IC 6-1.1-12-43, to the extent applicable. [Pre-2026 Revision Citation: 24-4.4-2-501.] As added by P.L.115-2026, SEC.97.

Sec. 22. (a) A violation by a creditor in a first lien mortgage transaction of Section 125 of the Consumer Credit Protection Act (15 U.S.C. 1635) (concerning a debtor's right to rescind a transaction) constitutes a violation of this article. A creditor may not accrue interest dur…

Sec. 23. A creditor in a first lien mortgage transaction that: (1) qualifies as a home equity conversion mortgage under the Federal Housing Administration's program; or (2) otherwise constitutes a reverse mortgage; shall provide the debtor with a pamphlet that is approved by the …

Sec. 3. (a) A violation of a state or federal law, regulation, or rule applicable to first lien mortgage transactions is a violation of this article. (b) The department may enforce penalty provisions set forth in 15 U.S.C. 1640 for violations of disclosure requirements applicable…

Sec. 4. (a) Unless a person subject to this article has first obtained a mortgage license from the department and annually maintains the license, the person shall not engage in Indiana as a creditor in first lien mortgage transactions. A separate mortgage license is required for …

Sec. 5. (a) The department shall receive and act on all applications for licenses to engage in first lien mortgage transactions. Applications must be made as prescribed by the director. If, at any time, the information or record contained in: (1) an application filed under this s…

Sec. 6. (a) When the director requests a national criminal history background check under section 5(d)(1) of this chapter for an individual described in section 5(b) of this chapter, the director shall require the individual to submit fingerprints to the department, state police …

Sec. 7. (a) If the director requests a credit report for an individual described in section 5(b) of this chapter, the individual to whom the request is made shall pay any fees or costs associated with procuring the report. (b) The individual must submit personal history and exper…

Sec. 8. (a) Each: (1) creditor; and (2) person that is exempt (either under this article or under IC 37-2) from licensing and that: (A) employs a licensed mortgage loan originator; or (B) sponsors a licensed mortgage loan originator as permitted by IC 37-1-1-6(8) or by 750 IAC 9;…

Sec. 9. (a) Subject to subsection (f), the director shall designate the NMLSR to serve as the sole entity responsible for: (1) processing applications and renewals for mortgage licenses; (2) issuing unique identifiers for licensees and persons exempt from licensing that employ or…

Sec. 1. (a) This chapter applies to consumer credit sales, including home solicitation sales, and consumer leases. (b) Sections 14 through 27 of this chapter apply to consumer credit sales and consumer leases. (c) Sections 29 through 33 of this chapter apply to consumer related s…

Sec. 10. (a) If the agreement with respect to a consumer credit sale, refinancing, or consolidation contains covenants by the buyer to perform certain duties pertaining to insuring or preserving collateral and the seller pursuant to the agreement pays for performance of the dutie…

Sec. 11. (a) Subject to the provisions on rebate upon prepayment set forth in section 12 of this chapter, the buyer may prepay in full the unpaid balance of a consumer credit sale, refinancing, or consolidation at any time without penalty. (b) At the time of prepayment of a credi…

Sec. 12. (a) Except for subsections (b) and (i), this section applies only to a sale agreement entered into before July 1, 2020. Except as provided in subsection (b), upon prepayment in full of the unpaid balance of a precomputed consumer credit sale, refinancing, or consolidatio…

Sec. 13. (a) For purposes of this section, "consumer credit sale" includes a sale that is a sale of an interest in land and that is a first lien mortgage transaction if the sale is otherwise a consumer credit sale. (b) The seller shall disclose to the buyer to whom credit is exte…

Sec. 14. A seller may not use multiple agreements with intent to obtain a higher credit service charge than would otherwise be permitted by this article or to avoid disclosure of an annual percentage rate pursuant to section 13 of this chapter. The excess amount of credit service…

Sec. 15. (a) For the purposes of this section, "terms of the refinancing" means: (1) in the case of a fixed-rate consumer credit sale, the individual payment amounts, the charges as a result of default by the buyer, and the rate of the credit service charge; and (2) in the case o…

Sec. 16. The obligation of a lessee upon expiration of a consumer lease may not exceed three (3) times the average payment allocable to a monthly period under the lease. This limitation does not apply to charges for damages to the leased property or for other default. [Pre-2026 R…

Sec. 17. (a) With respect to a consumer credit sale, a seller may take a security interest in the property sold. In addition, a seller may take a security interest in goods upon which services are performed or in which goods sold are installed or to which they are annexed, or in …

Sec. 18. The leasing of live domestic animals (as defined in IC 34-30-30-1) under this chapter is prohibited. [Pre-2026 Revision Citation: 24-4.5-2-407.5.] As added by P.L.115-2026, SEC.97.

Sec. 19. (a) As used in this section, "seller" does not include an assignee not related to the original seller. (b) In addition to contracting for a security interest pursuant to the provisions on security in sales or leases in section 17 of this chapter, a seller in a consumer c…

Sec. 2. A sale, refinancing, or consolidation is considered precomputed if the debt is expressed as a sum comprising the amount financed and the amount of the credit service charge computed in advance. [Pre-2026 Revision Citation: 24-4.5-2-105(7).] As added by P.L.115-2026, SEC.9…

Sec. 20. (a) If debts arising from two (2) or more consumer credit sales, other than sales pursuant to a revolving charge account, are secured by cross-collateral under section 19 of this chapter or consolidated into one (1) debt payable on a single schedule of payments, and the …

Sec. 21. A seller or lessor may not take an assignment of earnings of the buyer or lessee for payment or as security for payment of a claim, whether arising out of a consumer credit sale, consumer lease, or otherwise. An assignment of earnings in violation of this section is unen…

Sec. 22. With respect to a consumer credit sale or consumer lease the seller or lessor may not give or offer to give a rebate or discount or otherwise pay or offer to pay value to the buyer or lessee as an inducement for a sale or lease in consideration of the buyer or lessee giv…

Sec. 23. The buyer or lessee is authorized to pay the original seller or lessor until the buyer or lessee receives notification of assignment of the rights to payment pursuant to a consumer credit sale or consumer lease and that payment is to be made to the assignee. A notificati…

Sec. 24. With respect to a consumer credit sale or consumer lease the agreement may provide for the payment by the buyer or lessee of reasonable attorney's fees and after default and referral to an attorney not a salaried employee of the seller, or of the lessor or the lessor's a…

Sec. 25. Except for reasonable expenses incurred in realizing on a security interest, the agreement with respect to a consumer credit sale may not provide for any charges as a result of default by the buyer other than those authorized by this article. A provision in violation of …

Sec. 26. A buyer or lessee may not authorize any person to confess judgment on a claim arising out of a consumer credit sale or consumer lease. An authorization in violation of this section is void. [Pre-2026 Revision Citation: 24-4.5-2-415.] As added by P.L.115-2026, SEC.97.

Sec. 27. (a) This section applies to consumer credit sales, including revolving charge accounts. (b) Except as provided in subsection (c), a creditor shall credit a payment to a consumer's account as of the date of receipt, except when a delay in crediting does not result in a fi…

Sec. 28. The requirements of 16 CFR 429 must be met in regard to the following provisions concerning a home solicitation sale: (1) Period within which cancellation may be made by the buyer. (2) Notice of cancellation. (3) Form of cancellation. (4) Form of agreement or offer to pu…

Sec. 29. The parties to a sale other than a consumer credit sale may agree in a writing signed by the parties that the sale is subject to the provisions of this article applying to consumer credit sales. If the parties so agree, the sale is a consumer credit sale for the purposes…

Sec. 3. The cash price stated by the seller to the buyer pursuant to section 13 of this chapter is presumed to be the cash price. [Pre-2026 Revision Citation: 24-4.5-2-110 (presumption).] As added by P.L.115-2026, SEC.97.

Sec. 30. (a) With respect to a consumer related sale not made pursuant to a revolving charge account, the parties may contract for an amount comprising the amount financed and a credit service charge not in excess of twenty-five percent (25%) per year calculated according to the …

Sec. 31. Except for the rate of the credit service charge set forth in section 4 of this chapter and the rights to prepay and to rebate upon prepayment, sections 4 through 12 of this chapter apply to a consumer related sale. [Pre-2026 Revision Citation: 24-4.5-2-603.] As added by…

Sec. 32. (a) An agreement with respect to a consumer related sale may provide for only the following charges as a result of the buyer's default: (1) Reasonable attorney's fees and reasonable expenses incurred in realizing on a security interest. (2) Deferral charges not in excess…

Sec. 33. With respect to a sale other than a consumer credit sale or a consumer related sale, the parties may contract for the payment by the buyer of any credit service charge. [Pre-2026 Revision Citation: 24-4.5-2-605.] As added by P.L.115-2026, SEC.97.