AB 1103: Deferred interest financing: notice.

The California Consumer Financial Protection Law requires the Department of Financial Protection and Innovation to regulate the offering and provision of consumer financial products or services under California consumer financial laws, as defined, and to exercise nonexclusive oversight and enforcement authority under California consumer financial laws. The California Financing Law prohibits a person from engaging in the business of making consumer or commercial loans without a license from the Commissioner of Financial Protection and Innovation and generally regulates the provision of consumer and commercial loans.

This bill would require a person who offers a deferred interest period to consumers to provide effective notice to a consumer when a deferred interest period, as defined, is coming to an end. The bill would define effective notice to mean notice that is, among other things, reasonably calculated, and intended in good faith, to inform a consumer that a deferred interest period is ending.