AB1099: Bill Text

AB1099,10,7 (8) A provider's certificate of registration remains in force and effect until the division suspends or revokes the certificate of registration in accordance with this chapter or the provider surrenders the certificate of registration. A registered provider shall, on or before each December 10, pay to the division the annual registration fee established by the division for the next succeeding calendar year.

AB1099,10,8 (9) A provider may not assign a certificate of registration.

AB1099,10,11 (10) A provider shall conspicuously post its certificate of registration at the provider's physical place of business, or, if the provider conducts business on an Internet site, the provider shall post its registration number on the Internet site.

AB1099,10,13 203.04 Provider requirements; limitations. (1) A provider required to register under s. 203.03 (1) shall do all of the following:

AB1099,10,15 (a) Provide proceeds to consumers on a nonrecourse basis and shall treat nonmandatory payments as nonrecourse payment obligations.

AB1099,10,18 (b) Before providing proceeds to a consumer, inform the consumer in writing of any nonmandatory payments that may be associated with the provider providing earned income access services to consumers.

AB1099,10,21 (c) Each time the provider provides proceeds to a consumer, inform the consumer when the provider will make its first attempt to collect repayment of those proceeds from the consumer.

AB1099,10,24 (d) If the provider attempts to collect repayment of proceeds from a consumer's depository institution account, comply with applicable National Automated Clearinghouse Association rules.

AB1099,11,2 (2) A provider required to register under s. 203.03 (1) may not do any of the following:

AB1099,11,3 (a) Require a consumer to make a mandatory payment.

AB1099,11,5 (b) Charge a consumer a late fee or any other monetary penalty for failure to repay outstanding proceeds.

AB1099,11,11 (c) Condition the amount of proceeds the provider provides to a consumer on the amount of a nonmandatory payment the consumer makes to the provider. This paragraph does not prohibit the provider from collecting a nonmandatory payment from a consumer that is equal to a percentage of proceeds the provider provides to the consumer if the percentage does not change based on the amount of proceeds provided to the consumer.

AB1099,11,17 (d) Condition the frequency with which the provider provides proceeds to a consumer on the amount of a nonmandatory payment the consumer makes to the provider. This paragraph does not prohibit the provider from collecting a nonmandatory payment from a consumer that is equal to a percentage of proceeds the provider provides to the consumer if the percentage does not change based on the amount of proceeds provided to the consumer.

AB1099,11,19 (e) Report a consumer's repayment of or failure to repay proceeds to a consumer credit reporting agency or a debt collector.

AB1099,11,21 (f) Require a credit report or credit score to determine a consumer's eligibility for earned income access services.

AB1099,12,2 (g) Provide, sell, or otherwise disclose to a 3rd party, including an obligor, any nonpublic personal information collected from or about a consumer. This paragraph does not prohibit the provider from providing, selling, or otherwise disclosing information to the extent necessary to provide earned income access services to the consumer or in accordance with a consumer's written consent.

AB1099,12,7 203.045 Interpretation; applicability. (1) If a provider provides proceeds to a consumer in accordance with this chapter, the proceeds are not considered credit, the provider is not considered a creditor, and a nonmandatory payment made by the consumer to the provider is not considered a finance charge under the federal Truth in Lending Act, 15 USC 1601 to 1667f.

AB1099,12,9 (2) Chapters 421 to 427 do not apply to proceeds a provider provides to a consumer in accordance with this chapter.

AB1099,12,14 203.05 Reporting requirements; books and records. (1) On or before March 10 of each year, a provider required to register under s. 203.03 (1) shall submit an annual report to the division that includes all of the following information related to earned income access services the provider provided in this state during the prior year:

AB1099,12,15 (a) Gross revenue attributable to those earned income access services.

AB1099,12,17 (b) The total number of transactions in which the provider provided proceeds to consumers.

AB1099,12,19 (c) The total number of unique consumers to whom the provider provided proceeds.

AB1099,12,20 (d) The total dollar amount of proceeds the provider provided to consumers.

AB1099,12,22 (e) The total dollar amount of nonmandatory payments the provider received from consumers.

AB1099,12,25 (f) The total number of transactions in which proceeds were provided to consumers for which the provider did not receive repayment of any outstanding proceeds.

AB1099,13,1 (g) The total dollar amount of transactions described under par. (f).

AB1099,13,4 (h) The total number of transactions in which proceeds were provided to consumers for which the provider received partial repayment of outstanding proceeds.

AB1099,13,6 (i) The total dollar amount of transactions described under par. (h) and the total dollar amount of unpaid outstanding proceeds attributable to those transactions.

AB1099,13,8 (j) The total number of transactions in which outstanding proceeds were repaid after the original scheduled repayment date.

AB1099,13,9 (k) The total dollar amount of transactions described under par. (j).

AB1099,13,11 (2) Failure by a provider to submit a timely report as required under sub. (1) is grounds for disciplinary action by the division.

AB1099,13,18 (3) A provider required to register under s. 203.03 (1) shall keep such books and records that, in the opinion of the division, will enable the division to determine whether the provider is in compliance with this chapter. The provider shall retain records related to proceeds for at least 2 years following the date on which proceeds are provided. The provider may keep books and records at a place of business located outside of this state if the provider is able to readily produce those books and records for review by the division upon reasonable request by the division.

AB1099,13,21 203.06 Suspension or revocation of registration. (1) The division may suspend or revoke a provider's certificate of registration issued under this chapter if the division finds any of the following:

AB1099,13,24 (a) That the provider violated any provision of this chapter, any rule promulgated under this chapter, or any lawful order of the division made under this chapter.

AB1099,14,3 (b) That any fact or condition exists that, if it had existed at the time of the provider's original application for a certificate of registration, would have warranted the division refusing to issue the certificate of registration.

AB1099,14,5 (c) That the provider made a material misstatement in an application for a certificate of registration or in information furnished to the division.

AB1099,14,7 (d) That the provider failed to pay the annual registration fee or to maintain in effect the bond required under s. 203.03 (5).

AB1099,14,13 (2) The division shall revoke a provider's certificate of registration issued under this chapter if the department of revenue certifies under s. 73.0301 that the provider is liable for delinquent taxes. A provider whose registration is revoked under this subsection for delinquent taxes is entitled to a notice under s. 73.0301 (2) (b) 1. b. and a hearing under s. 73.0301 (5) (a) but is not entitled to any other notice or hearing under this chapter.

AB1099,14,20 (3) The division shall revoke a provider's certificate of registration issued under this chapter if the department of workforce development certifies under s. 108.227 that the provider is liable for delinquent unemployment insurance contributions. A provider whose registration is revoked under this subsection for delinquent unemployment insurance contributions is entitled to a notice under s. 108.227 (2) (b) 1. b. and a hearing under s. 108.227 (5) (a) but is not entitled to any other notice or hearing under this chapter.

AB1099,14,23 (4) Except as provided in subs. (2) and (3), the division may not revoke or suspend a provider's certificate registration except after a hearing under this chapter.

AB1099,15,3 203.07 Violations and enforcement. (1) The division may bring a civil action to restrain by temporary or permanent injunction a person from violating this chapter or rules promulgated under this chapter or to restrain a person from engaging in false, misleading, deceptive, or unconscionable conduct in connection with offering earned income access services.

AB1099,15,18 (2) The division may seek a temporary restraining order without written or oral notice to the adverse party. If a court finds that there is reasonable cause to believe that the respondent is engaged in the conduct sought to be restrained and that such conduct violates this chapter or rules promulgated under this chapter, the court may grant a temporary restraining order or any temporary relief the court determines is appropriate. A temporary restraining order granted without notice shall expire by its terms within a stated time after entry, not to exceed 30 days, as the court fixes, unless within this time it is extended by the court, or unless the party against whom the order is directed consents that it may be extended for a longer period. When a temporary restraining order is granted without notice, the motion for a preliminary injunction shall be set down for a hearing at the earliest possible time. Upon notice to the party who obtained the temporary restraining order without notice, the adverse party may appear and move its dissolution or modification, and, in this event, the court shall proceed to hear and determine such motion as expeditiously as the ends of justice require.

AB1099,15,21 (3) The division may recover in a civil action from a person that violates this chapter or rules promulgated under this chapter a civil penalty of not less than $100 and not more than $1,000 for each violation.

AB1099,15,25 (4) In addition to the amount to which the division is entitled under sub. (3), the division may recover in a civil action from a person that knowingly or willfully violates this chapter or rules promulgated under this chapter a civil penalty of not less than $1,000 and not more than $10,000 for each violation.

AB1099,6 Section 6. Effective date.

AB1099,16,3 (1) This act takes effect on the first day of the 6th month beginning after publication.

AB1099,16,4 (End)