NAC: CHAPTER 604A - DEFERRED DEPOSIT LOANS, HIGH-INTEREST LOANS, SHORT-TERM LOANS, TITLE LOANS AND CHECK-CASHING SERVICES

[Rev. 10/22/2025 4:37:09 PM]

CHAPTER 604A - DEFERRED DEPOSIT LOANS, HIGH-INTEREST LOANS, SHORT-TERM LOANS, TITLE LOANS AND CHECK-CASHING SERVICES

[NAC-604A Revised Date: 9-25]

GENERAL PROVISIONS

604A.010 Definitions.

604A.020 “Licensee” interpreted.

604A.030 Use of electronic or digital signature.

LICENSING AND FEES

604A.050 Application for license.

604A.060 Display of license: “License” and “location where he or she does business” interpreted.

604A.070 Grounds for refusal to renew license.

604A.080 Grounds for revocation or suspension of license.

604A.090 Fees and assessments.

OPERATION OF BUSINESS

604A.100 Prerequisites to conduct of business under license.

604A.110 Foreign business entities: Prerequisites to operation in State.

604A.120 Office or other place of business located outside of State.

604A.130 Notice of fees charged for services.

604A.140 Notice of toll-free telephone number for concerns and complaints.

604A.150 Display of hours of operation; termination of prescribed period for performance of act by customer.

604A.160 Translation of documents written in language other than English.

604A.170 Delivery to customer of notice of opportunity to enter into repayment plan.

604A.180 Documentation of compliance with limitations on amounts of deferred deposit loans and short-term loans.

604A.190 Required books and records: “Books and accounting records” interpreted.

604A.200 Maintenance of books and records.

604A.210 Restrictions on advertising.

604A.220 Prohibited acts: Acceptance of check as security for short-term loan or title loan.

604A.230 Prohibited acts: Miscellaneous acts.

DATABASE OF CERTAIN INFORMATION RELATED TO DEFERRED DEPOSIT LOANS, TITLE LOANS AND HIGH-INTEREST LOANS

604A.300 Definitions.

604A.310 “Database” defined.

604A.312 “Delete” defined.

604A.314 “Due date” defined.

604A.320 “Identifying customer information” defined.

604A.325 “Service provider” defined.

604A.328 When loan considered closed.

604A.330 Service provider: Duties generally.

604A.333 Service provider: Duty to retain, archive or delete data; required notice of unavailability of database.

604A.336 Access to database restricted to certain staff; password requirements for users.

604A.338 Duty of licensee to query database before making certain loans; retention of queries.

604A.340 Information required to be provided to licensee in response to query; determination of eligibility for loan; requirements for approval; notice of ineligibility.

604A.342 Duties of licensee if database unavailable; information applicant must provide.

604A.345 Fees charged by service provider.

604A.347 Fees charged by licensee.

604A.350 Required entry into database generally.

604A.352 Required entry into database for deferred deposit loan or high-interest loan.

604A.354 Required entry into database for title loan.

604A.356 Required entry into database for payment, failure to make payment or installment payments.

604A.360 Entry and maintenance of loan status in database.

604A.364 Retention of loan data and documentation.

604A.366 Prohibition on deletion of customer information; requirements if loan voided or rescinded.

604A.368 Access to database by Commissioner for enforcement and compliance; periodic reports by Commissioner.

604A.370 Customer request for certain loan information.

GENERAL PROVISIONS

NAC 604A.010 Definitions. (NRS 604A.300) As used in this chapter, unless the context otherwise requires:

1. The words and terms defined in NRS 604A.015 to 604A.125, inclusive, have the meanings ascribed to them in those sections.

2. “License” means a license to operate a check-cashing service, deferred deposit loan service, short-term loan service or title loan service pursuant to the provisions of this chapter and chapter 604A of NRS.

(Added to NAC by Comm’r of Financial Institutions by R150-05, eff. 12-29-2005)

NAC 604A.020 “Licensee” interpreted. (NRS 604A.300) For the purposes of this chapter and chapter 604A of NRS, the Commissioner interprets the term “licensee” to include:

1. A branch office of a licensee conducting business at any location, including a place of business located outside this State from which the licensee conducts business in this State.

2. An agent, employee, manager or officer of a licensee.

(Added to NAC by Comm’r of Financial Institutions by R150-05, eff. 12-29-2005)

NAC 604A.030 Use of electronic or digital signature. (NRS 604A.300) Any document, notice, receipt or record for which a signature is required pursuant to the provisions of this chapter or chapter 604A of NRS may be signed electronically or digitally in accordance with the provisions of chapters 719 and 720 of NRS and any regulations adopted pursuant thereto.

(Added to NAC by Comm’r of Financial Institutions by R150-05, eff. 12-29-2005)

LICENSING AND FEES

NAC 604A.050 Application for license. (NRS 604A.300, 604A.600) An application for a license must, in addition to the requirements set forth in NRS 604A.600, include:

1. The name under which the applicant proposes to conduct his or her business.

2. A financial statement for the applicant’s most recent fiscal year or a copy of the applicant’s federal income tax return for each of the preceding 2 years, or both.

3. For each person who owns at least 25 percent of the voting stock, partnership or member interests of the business of the applicant, a record of the personal history of the person. The record must be submitted on a form provided by the Commissioner.

(Added to NAC by Comm’r of Financial Institutions by R150-05, eff. 12-29-2005)

NAC 604A.060 Display of license: “License” and “location where he or she does business” interpreted. (NRS 604A.300, 604A.635) For the purposes of subsection 3 of NRS 604A.635, the Commissioner interprets:

1. “License” to mean an original license.

2. “Location where he or she does business” to include each branch location where the licensee does business.

(Added to NAC by Comm’r of Financial Institutions by R150-05, eff. 12-29-2005)

NAC 604A.070 Grounds for refusal to renew license. (NRS 604A.300) The Commissioner may refuse to renew a license if the licensee violates any provision of this chapter or chapter 604A of NRS, or NRS 658.055 or 658.098, including, without limitation, a provision that imposes a fee or assessment on the licensee.

(Added to NAC by Comm’r of Financial Institutions by R150-05, eff. 12-29-2005)

NAC 604A.080 Grounds for revocation or suspension of license. (NRS 604A.300) The grounds for revocation or suspension of a license, in addition to the grounds set forth in NRS 604A.820, are that the licensee:

1. Is insolvent or in such financial condition that the licensee cannot continue his or her business and ensure the financial safety of his or her customers;

2. Issues a check to a customer that is not paid upon presentment because the account of the licensee contains insufficient funds or has been closed or the licensee has stopped payment on the check;

3. Is grossly negligent or incompetent in performing any act for which the licensee is required to have a license;

4. Does not conduct the licensee’s business in accordance with law;

5. Makes a material misrepresentation of fact or fails to disclose a material fact that the licensee knows or should have known concerning a transaction governed by this chapter and chapter 604A of NRS;

6. Knowingly makes or causes to be made to the Commissioner any false representation of material fact;

7. Suppresses or withholds from the Commissioner any information that the licensee possesses concerning the existence of a fact or condition which would have justified the Commissioner in denying the licensee’s original application for a license;

8. Refuses to submit to an audit, examination, investigation or hearing ordered by the Commissioner;

9. Fails to provide the Commissioner with any information requested by the Commissioner pursuant to this chapter or chapter 604A of NRS;

10. Fails to pay any fees or assessments imposed on the licensee pursuant to this chapter or chapter 604A of NRS, or NRS 658.055 or 658.098;

11. Fails to maintain the surety bond as set forth in NRS 604A.610, or the security in lieu of a surety bond as set forth in NRS 604A.615; or

12. Engages in any other conduct that constitutes a deceitful, fraudulent or dishonest business practice, including, without limitation, a deceptive trade practice as defined in chapter 598 of NRS.

(Added to NAC by Comm’r of Financial Institutions by R150-05, eff. 12-29-2005)

NAC 604A.090 Fees and assessments. (NRS 604A.300, 604A.600, 604A.640, 604A.740, 604A.760)

1. The nonrefundable application fee required pursuant to NRS 604A.600 is $400 plus $100 for each additional license for a branch location at which the applicant proposes to operate under the applicant’s license.

2. The additional application fee required pursuant to NRS 604A.600 is $375 plus $75 for each additional license for a branch location at which the applicant proposes to operate under his or her license. The Commissioner may refund the fee on a prorated basis if:

(a) An applicant withdraws his or her application before the Commissioner acts on the application;

(b) The Commissioner deems an application to be withdrawn because the applicant fails to submit all information and fees required to complete the application within the period set forth in NRS 604A.600; or

3. The fee to renew a license required pursuant to NRS 604A.640 is $375 plus $75 for each branch location at which the licensee is authorized to operate under the license.

4. The fee for reinstatement of an expired license as set forth in NRS 604A.640 is $150 plus $50 for each branch location at which the licensee is authorized to operate under the license.

5. The hourly fee authorized in NRS 604A.740 for supervision, audit, examination, investigation or hearing is $75.

6. The late fee for each day a licensee fails to submit a report required pursuant to the provisions of chapter 604A of NRS, as set forth in NRS 604A.760, is $10.

7. The Commissioner shall bill each licensee for any fee or assessment imposed pursuant to the provisions of this chapter and chapter 604A of NRS. The licensee shall pay the fee within 30 days after the date the licensee receives the bill. Except as otherwise provided in this subsection, any payment received after the date due must include a penalty of 10 percent of the fee, plus an additional 1 percent of the fee for each month, or portion of a month, that the fee is not paid. The Commissioner may waive the penalty for good cause.

(Added to NAC by Comm’r of Financial Institutions by R150-05, eff. 12-29-2005; A by R054-16, 9-9-2016)

OPERATION OF BUSINESS

NAC 604A.100 Prerequisites to conduct of business under license. (NRS 604A.300) A licensee shall not conduct any business under his or her license unless:

1. The licensee possesses each license and permit required by this State or a local government as a condition to conducting business; and

2. The business location complies with the provisions of all applicable planning and zoning ordinances.

(Added to NAC by Comm’r of Financial Institutions by R150-05, eff. 12-29-2005)

NAC 604A.110 Foreign business entities: Prerequisites to operation in State. (NRS 604A.300) A foreign corporation, association, trust or other business entity shall not operate a check-cashing service, deferred deposit loan service, short-term loan service or title loan service in this State unless the foreign business entity:

1. Qualifies to do business in this State pursuant to chapter 80 of NRS; and

2. Complies with the provisions of this chapter and chapter 604A of NRS.

(Added to NAC by Comm’r of Financial Institutions by R150-05, eff. 12-29-2005)

NAC 604A.120 Office or other place of business located outside of State. (NRS 604A.300, 604A.620) If the Commissioner, pursuant to NRS 604A.620, issues a license for an office or other place of business located outside of this State from which the licensee may conduct business in this State, the place of business is:

1. Not required to be open to the public.

2. Subject to any audit, examination or investigation authorized pursuant to the provisions of this chapter or chapter 604A of NRS. The Commissioner will conduct the audit, examination or investigation in accordance with the terms of the agreement entered into with the licensee pursuant to NRS 604A.620.

(Added to NAC by Comm’r of Financial Institutions by R150-05, eff. 12-29-2005)

NAC 604A.130 Notice of fees charged for services. (NRS 604A.300, 604A.405)

1. The notice required by paragraph (a) of subsection 1 of NRS 604A.405 must:

(a) Comply with the applicable provisions of Regulation Z and the Truth in Lending Act.

(b) Set forth the actual fees charged for each service.

NOTICE OF FEES CHARGED FOR SERVICES

Check-cashing fee....................... $___.__

Deferred deposit loan fee............ $___.__

Short-term loan fee...................... $___.__

Title loan fee................................ $___.__

(d) If printed, be in boldface type. Information that must be printed in all upper case letters must be printed in at least 18-point type. All other information must be printed in at least 16-point type.

(e) If handwritten or displayed digitally or by other electronic means, be in characters that are equivalent in intensity, legibility and size to the characters required for printed matter.

2. A licensee shall not include in this notice a fee for any service that he or she is not licensed to provide.

(Added to NAC by Comm’r of Financial Institutions by R150-05, eff. 12-29-2005)

NAC 604A.140 Notice of toll-free telephone number for concerns and complaints. (NRS 604A.300, 604A.405) The notice required pursuant to paragraph (b) of subsection 1 of NRS 604A.405 must:

1. Be in substantially the following form:

NOTICE OF RIGHT TO CONTACT THE OFFICE OF THE COMMISSIONER OF FINANCIAL INSTITUTIONS REGARDING CONCERNS OR COMPLAINTS

You may contact the Office of the Commissioner of Financial Institutions regarding concerns or complaints about the service provider with whom you are dealing by calling the following toll-free telephone number in Nevada: 1 (866) 858-8951.

2. If printed, be in boldface type. Information that must be printed in all upper case letters, and the telephone number, must be printed in at least 18-point type. All other information must be printed in at least 16-point type.

3. If handwritten or displayed digitally or by other electronic means, be in characters that are equivalent in intensity, legibility and size to the characters required for printed matter.

(Added to NAC by Comm’r of Financial Institutions by R150-05, eff. 12-29-2005)

NAC 604A.150 Display of hours of operation; termination of prescribed period for performance of act by customer. (NRS 604A.300)

1. A licensee shall prominently display at each location where he or she does business a notice that sets forth the days of the week and the hours of the day that the location is open for business.

2. A customer who is entitled or required to perform an act within a prescribed period, including a customer entitled to rescind a loan pursuant to NRS 604A.460, may perform the act at any time before the close of business on the last day within the prescribed period. If the last day is not a business day, or the location is not otherwise open for business on that day, the period during which the customer may perform the act is extended until the next business day at that location.

3. If a licensee closes a business location earlier than the time of day set forth in the licensee’s notice, the period during which the customer may perform the act is extended until the close of business on the next business day on which the location remains open for business until the time set forth in the notice.

4. For the purposes of this section, the business day of a location that is open for business after midnight shall be deemed to end at midnight.

(Added to NAC by Comm’r of Financial Institutions by R150-05, eff. 12-29-2005)

NAC 604A.160 Translation of documents written in language other than English. (NRS 604A.300)

1. A licensee who uses a form or standard loan agreement written in Spanish as required by NRS 604A.410, notice of opportunity to enter into a repayment plan written in Spanish as required by NRS 604A.475, or other form or standard document written in a language other than English shall cause the document to be translated into English and maintain together a copy of the document and its English translation.

2. A document translated pursuant to this section must be:

(a) Translated by an interpreter who is:

(1) Certified by the Court Administrator in accordance with the provisions of NRS 1.510 and regulations adopted pursuant thereto; or

(2) Approved in writing by the Division.

(b) Accompanied by a certificate issued by the interpreter. The certificate must:

(1) Declare that the translated document is a true and complete translation of the document written in the language other than English;

(2) Identify the document written in a language other than English and its English translation;

(3) Include the date of translation; and

(4) Include the name, address, telephone number and electronic mail address, if any, of the interpreter.

3. The Commissioner may require a licensee to provide a translation of any nonstandard document that is written in a language other than English.

4. The Commissioner may assess a licensee for all costs incurred by the Commissioner to verify the licensee’s compliance with this section.

(Added to NAC by Comm’r of Financial Institutions by R150-05, eff. 12-29-2005)

NAC 604A.170 Delivery to customer of notice of opportunity to enter into repayment plan. (NRS 604A.300, 604A.475)

1. A licensee who is required to provide a customer with written notice of the opportunity to enter into a repayment plan pursuant to NRS 604A.475 may deliver the written notice to the customer using any method of delivery that generates a record of the delivery.

2. A person who delivers a notice to a customer in person must execute an affidavit of delivery.

(Added to NAC by Comm’r of Financial Institutions by R150-05, eff. 12-29-2005)

NAC 604A.180 Documentation of compliance with limitations on amounts of deferred deposit loans and short-term loans. (NRS 604A.300, 604A.425)

1. A licensee shall maintain written documentation to establish that, except as otherwise provided in NRS 604A.425 and 604A.430, the licensee has not made a:

(a) Deferred deposit loan that exceeds 25 percent of the expected gross monthly income of the customer when the loan is made; or

(b) Short-term loan that, under the terms of the loan agreement, requires any monthly payment that exceeds 25 percent of the expected gross monthly income of the customer.

2. A licensee shall maintain separate written documentation for each deferred deposit loan or short-term loan the licensee makes to a customer.

3. A licensee who fails to provide the Commissioner with the documentation required by this section is presumed to have violated NRS 604A.425.

(Added to NAC by Comm’r of Financial Institutions by R150-05, eff. 12-29-2005)

NAC 604A.190 Required books and records: “Books and accounting records” interpreted. (NRS 604A.300, 604A.700) For the purposes of this chapter and chapter 604A of NRS, the Commissioner interprets the term “books and accounting records” as used in NRS 604A.700 to include, without limitation:

1. A copy of each receipt given by a licensee to a customer pursuant to NRS 604A.460 to 604A.475, inclusive, and 604A.495.

2. A record of each event that increases or decreases a customer’s indebtedness to the licensee. The record must include sufficient information to enable the Commissioner to reconcile the amount of the customer’s beginning balance with his or her ending or outstanding balance.

(Added to NAC by Comm’r of Financial Institutions by R150-05, eff. 12-29-2005)

NAC 604A.200 Maintenance of books and records. (NRS 604A.300)

1. Except as otherwise provided in NRS 604A.700, a licensee shall maintain for at least 3 years the original or a copy of each account, book, paper, written or electronic record or other document that concerns each loan or other transaction involving a customer in this State.

2. Except as otherwise provided in NRS 604A.620, those records must be maintained at a place of business in this State designated by the licensee.

(Added to NAC by Comm’r of Financial Institutions by R150-05, eff. 12-29-2005)

NAC 604A.210 Restrictions on advertising. (NRS 604A.300) A licensee shall not advertise in any manner that:

1. May tend to confuse the identity of the licensee with any other unrelated licensee.

2. States or implies that a loan of a prospective borrower with another licensee will be paid or increased if the loan is transferred to the advertising licensee.

(Added to NAC by Comm’r of Financial Institutions by R150-05, eff. 12-29-2005)

NAC 604A.220 Prohibited acts: Acceptance of check as security for short-term loan or title loan. (NRS 604A.300, 604A.435) A licensee who accepts a check as security for a short-term loan or title loan violates NRS 604A.435 even if:

1. The check is not negotiable; or

2. The licensee does not negotiate the check.

(Added to NAC by Comm’r of Financial Institutions by R150-05, eff. 12-29-2005)

NAC 604A.230 Prohibited acts: Miscellaneous acts. (NRS 604A.300)

1. A licensee shall not:

(a) Require or accept a guarantor to a transaction entered into with a customer.

(b) Issue his or her own check to a customer unless the check is drawn on an account that is:

(1) Insured by the Federal Deposit Insurance Corporation, the National Credit Union Share Insurance Fund or a private insurer approved pursuant to NRS 672.755;

(2) Identified as belonging to the licensee; and

(3) Maintained in a depository institution authorized to do business in this State.

(d) Collect or attempt to collect any interest incidental to the check other than the fees set forth in this chapter and chapter 604A of NRS.

(e) Operate his or her business from any location other than the location listed on his or her license.

(f) Harass the employer of a customer in attempting to collect on a check.

(g) Advertise for sale or threaten to advertise for sale any check as a means to enforce payment of the check, unless the licensee is acting pursuant to a court order.

(h) Except as otherwise provided in this paragraph, publish or post, or cause to be published or posted, a list of customers who have not paid on their checks. A licensee may publish or post such a list for the benefit of his or her agents, employees, officers, managers, stockholders or membership in connection with the internal affairs of the licensee. This provision does not prevent a licensee from providing information concerning a customer to a consumer reporting agency.

2. This section does not prohibit a licensee from selling his or her receivables or assigning past due receivables to a collection agent for collection.

3. As used in this section, “consumer reporting agency” has the meaning ascribed to it in section 603(f) of the Fair Credit Reporting Act, 15 U.S.C. § 1681a(f).

(Added to NAC by Comm’r of Financial Institutions by R150-05, eff. 12-29-2005)

DATABASE OF CERTAIN INFORMATION RELATED TO DEFERRED DEPOSIT LOANS, TITLE LOANS AND HIGH-INTEREST LOANS

NAC 604A.300 Definitions. (NRS 604A.303) As used in NAC 604A.300 to 604A.370, inclusive, unless the context otherwise requires, the words and terms defined in NRS 604A.036, 604A.038 and 604A.057, and NAC 604A.310 to 604A.325, inclusive, have the meanings ascribed to them in those sections.

(Added to NAC by Comm’r of Financial Institutions by R037-20, eff. 12-29-2020)

NAC 604A.310 “Database” defined. (NRS 604A.303) “Database” means the database required by NRS 604A.303 to be developed, implemented and maintained.

(Added to NAC by Comm’r of Financial Institutions by R037-20, eff. 12-29-2020)

NAC 604A.312 “Delete” defined. (NRS 604A.303) “Delete” means to erase data by overwriting the data.

(Added to NAC by Comm’r of Financial Institutions by R037-20, eff. 12-29-2020)

NAC 604A.314 “Due date” defined. (NRS 604A.303) “Due date” means the date, based on a payment schedule and subject to all statutory requirements, on which a customer is scheduled to:

1. Make a payment, either to pay the full amount of a loan, including principal, finance charge and fees, and extinguish the debts; or

2. If applicable, make an installment payment.

(Added to NAC by Comm’r of Financial Institutions by R037-20, eff. 12-29-2020)

NAC 604A.320 “Identifying customer information” defined. (NRS 604A.303) “Identifying customer information” means:

1. The name of a customer;

2. The social security number or alien registration number of a customer;

3. The driver’s license number of a customer; or

4. The number of an identification card which was issued to a customer by the Federal Government, this State or any other state,

Ê that is entered into the database.

(Added to NAC by Comm’r of Financial Institutions by R037-20, eff. 12-29-2020)

NAC 604A.325 “Service provider” defined. (NRS 604A.303) “Service provider” means the vendor or service provider with which the Commissioner has contracted to develop, implement and maintain the database.

(Added to NAC by Comm’r of Financial Institutions by R037-20, eff. 12-29-2020)

NAC 604A.328 When loan considered closed. (NRS 604A.303) For the purposes of NAC 604A.300 to 604A.370, inclusive, a loan is closed if the final status of the loan is no longer active because the loan has been paid in full under the loan agreement, because the loan is a title loan and the vehicle securing the loan has been repossessed, because the licensee has charged off the loan or for any other reason.

(Added to NAC by Comm’r of Financial Institutions by R037-20, eff. 12-29-2020)

NAC 604A.330 Service provider: Duties generally. (NRS 604A.303) The service provider shall:

1. Develop, implement and maintain the database.

2. Take all actions the service provider deems necessary to protect the confidentiality and security of the information contained in the database and be responsible for the confidentiality and security of such information.

(Added to NAC by Comm’r of Financial Institutions by R037-20, eff. 12-29-2020)

NAC 604A.333 Service provider: Duty to retain, archive or delete data; required notice of unavailability of database. (NRS 604A.303) The service provider shall:

1. Retain the data in the database only as required to ensure that a licensee complies with the requirements of this chapter and chapter 604A of NRS.

2. Unless notified by the Commissioner that the data and identifying customer information relating to a transaction of a customer is needed for the purposes of a pending investigation or enforcement action:

(a) Archive the data in the database not later than 2 years after the loan is closed. As used in this paragraph, “archive” means to copy data to a long-term storage mechanism separate from the database.

(b) Delete the data and any identifying customer information from the database on the date that is 3 years after the date on which the loan is closed.

3. If the database becomes unavailable for any reason, notify the Office of the Commissioner not later than the next business day after the database becomes unavailable.

(Added to NAC by Comm’r of Financial Institutions by R037-20, eff. 12-29-2020)

NAC 604A.336 Access to database restricted to certain staff; password requirements for users. (NRS 604A.303)

1. Access to the database must be limited to members of the staff of:

(a) A licensee who underwrite and process loans;

(b) A licensee who collect and post payments made on loans;

(d) The service provider; and

(e) The Office of the Commissioner.

2. Each user of the database must be required to:

(a) Create a password to access the database that meets the criteria of the service provider for passwords; and

(b) Safeguard the password by not sharing the password with any person or by committing the password to writing.

(Added to NAC by Comm’r of Financial Institutions by R037-20, eff. 12-29-2020)

NAC 604A.338 Duty of licensee to query database before making certain loans; retention of queries. (NRS 604A.303)

1. Before making a deferred deposit loan, title loan or high-interest loan, a licensee shall query the database.

2. To verify the identity of a customer, a query made pursuant to subsection 1 must include, at a minimum:

(a) The full name of the customer, including, without limitation, first and last name and middle initial;

(b) The social security number or alien registration number of the customer;

(c) The number of a valid identification card issued by a governmental entity which contains a photograph of the customer; and

(d) The date of birth of the customer.

3. The service provider shall retain each query of the database for review by the Office of the Commissioner.

(Added to NAC by Comm’r of Financial Institutions by R037-20, eff. 12-29-2020)

NAC 604A.340 Information required to be provided to licensee in response to query; determination of eligibility for loan; requirements for approval; notice of ineligibility. (NRS 604A.303)

1. In response to a query by a licensee, the database must:

(a) Provide the licensee with the information which a licensee may obtain pursuant to paragraphs (a) to (d), inclusive, of subsection 1 of NRS 604A.303;

(b) Inform the licensee whether a customer is eligible for a loan pursuant to this chapter and chapter 604A of NRS; and

2. In determining the ability of a customer to repay a loan for the purposes of chapter 604A of NRS, a licensee shall consider the information provided pursuant to subsection 1 and any other available information.

3. A licensee may approve a loan only if the making of the loan is permissible pursuant to the provisions of this chapter and chapter 604A of NRS.

4. If the database informs a licensee that a customer is ineligible for a loan, the licensee must provide the customer with a written notice which contains:

(a) The reason for the ineligibility;

(b) The contact information of the service provider; and

(c) A statement advising the customer to submit an inquiry to the service provider if the customer has questions regarding the specific reason for the ineligibility.

5. A written notice provided by a licensee pursuant to subsection 4 does not preclude or replace any disclosure required by federal law.

(Added to NAC by Comm’r of Financial Institutions by R037-20, eff. 12-29-2020)

NAC 604A.342 Duties of licensee if database unavailable; information applicant must provide. (NRS 604A.303)

1. During any period in which the database is unavailable due to technical issues on the service provider’s side of the system, a licensee may rely upon the written representation of a customer applying for a loan and assess the ability of the customer to repay the loan by obtaining the documentation required by this chapter and chapter 604A of NRS to verify that making the loan for which the customer applied is permissible pursuant to this chapter and chapter 604A of NRS.

2. The written representation of a customer applying for a loan, which a licensee may rely on pursuant to subsection 1, must include, without limitation:

(a) An affirmation that the customer does not have any loan outstanding at the time the customer applies for the loan;

(b) If, at the time the customer applies for a deferred deposit loan or high-interest loan, the customer has another outstanding loan, an affirmation that:

(1) The amount of the additional deferred deposit loan or high-interest loan, as applicable, for which the customer is applying would not, when combined with the amount of the outstanding loan of the customer, exceed 25 percent of the expected gross monthly income of the customer; and

(2) The customer has the ability to repay the loan and the additional deferred deposit loan or high-interest loan for which the customer is applying; or

(c) If, at the time the customer applies for a title loan, the customer has outstanding another title loan, an affirmation that:

(1) The customer has the ability to repay the outstanding title loan and the additional title loan for which the customer is applying; and

(2) The title to the vehicle is not perfected with another lender or licensee.

3. If a licensee makes a loan to a customer during a period when the database is unavailable, whether due to a scheduled outage or other technical issues, a licensee must:

(a) Enter the loan into the database not later than 24 hours after the database becomes operational;

(b) Notate on the loan file that the loan was originated during a period the database was unavailable; and

(c) Retain all records of the loan transaction as required for any loan which is made by a licensee pursuant to the provisions of this chapter and chapter 604A of NRS.

(Added to NAC by Comm’r of Financial Institutions by R037-20, eff. 12-29-2020)

NAC 604A.345 Fees charged by service provider. (NRS 604A.303)

1. Except as otherwise provided in this section, the service provider shall charge and collect a fee from each licensee for each loan which the licensee approves and enters into the database. The fee:

(a) Must have been established by the competitive procurement process through which the service provider was selected by the Commissioner; and

(b) Must not exceed $3 per approved loan.

2. The service provider shall not charge or collect a fee from a licensee for a loan which is:

(a) Not approved;

(b) Voided; or

3. The fee may be charged only at the time of the origination of a loan and cannot be charged to extend, roll over, renew, refinance or consolidate a loan, or for any other action which would extend the due date.

(Added to NAC by Comm’r of Financial Institutions by R037-20, eff. 12-29-2020)

NAC 604A.347 Fees charged by licensee. (NRS 604A.303)

1. A licensee shall not charge or collect from a customer a fee:

(a) If a loan is not approved.

(b) If a loan is voided.

(d) In an amount which exceeds the actual cost of the fee charged to the licensee by the service provider.

2. The fee must be itemized on the loan agreement, regardless of whether the fee is required to be included in the finance charge under the Truth in Lending Act, as amended, 15 U.S.C. §§ 1601 et. seq., and Regulation Z, 12 C.F.R. Part 226.

(Added to NAC by Comm’r of Financial Institutions by R037-20, eff. 12-29-2020)

NAC 604A.350 Required entry into database generally. (NRS 604A.303) Except as otherwise provided in NAC 604A.340, a licensee shall enter into the database, in real time:

1. Each loan originated by the licensee;

2. Each renewal, extension, rollover and refinance of a loan;

3. Information concerning a loan that has entered a grace period;

4. Each payment on a loan;

5. The date on which an offer of a repayment plan is sent;

6. The date on which a repayment plan is entered into by the customer and the licensee;

7. Each declined loan; and

8. Any other transaction relating to a loan, as applicable, and in compliance with the provisions of this chapter and chapter 604A of NRS.

(Added to NAC by Comm’r of Financial Institutions by R037-20, eff. 12-29-2020)

NAC 604A.352 Required entry into database for deferred deposit loan or high-interest loan. (NRS 604A.303)

1. A licensee who makes:

(a) A deferred deposit loan; or

(b) A high-interest loan,

Ê shall comply with the requirements of subsection 2.

2. Except as otherwise provided in NAC 604A.340, a licensee who makes a loan described in subsection 1 shall, in real time, enter into the database the following information:

(a) Whether the customer is a covered service member.

(b) Whether the customer is a dependent of a covered service member.

(d) The term of the loan.

(e) The principal amount of the loan.

(f) The total finance charge associated with the loan.

(g) The fee charged for the loan.

(h) The due date of the loan.

(i) The annual percentage rate of the loan.

(j) The scheduled payment amount.

(k) The payment details as required by NAC 604A.356.

(l) The type of loan product.

(m) The gross monthly income of the customer.

(Added to NAC by Comm’r of Financial Institutions by R037-20, eff. 12-29-2020)

NAC 604A.354 Required entry into database for title loan. (NRS 604A.303) Except as otherwise provided in NAC 604A.340, a licensee who makes a title loan shall, in real time, enter into the database the following information:

1. Verification that the customer is the legal owner of the vehicle which secures the loan.

2. Whether the customer is a covered service member.

3. Whether the customer is a dependent of a covered service member.

4. The origination date of the loan.

5. The term of the loan.

6. The principal amount of the loan.

7. The total finance charge associated with the loan.

8. The fee charged for the loan.

9. The due date of the loan.

10. The annual percentage rate of the loan.

11. The scheduled payment amount.

12. The payment details as required by NAC 604A.356.

13. The year, make, model and vehicle identification number of the vehicle which secures the loan.

14. The fair market value of the vehicle as valued by a third-party vendor.

15. If applicable:

(a) The name of the legal co-owner of the vehicle; and

(b) The consent of the legal co-owner of the vehicle for the vehicle to serve as security for the loan.

(Added to NAC by Comm’r of Financial Institutions by R037-20, eff. 12-29-2020)

NAC 604A.356 Required entry into database for payment, failure to make payment or installment payments. (NRS 604A.303)

1. Except as otherwise provided in NAC 604A.340, for each payment made on a loan, the licensee shall, in real time, enter into the database the following information, without limitation:

(a) The scheduled payment amount.

(b) The due date of the payment.

(d) The date on which the payment was made.

(e) The allocation of the total payment, including, without limitation, the dollar amount applied to the principal and the dollar amount applied to interest and fees.

(f) The amount and date of the payment received from a customer when the loan is paid in full.

2. If a customer fails to make a payment as scheduled, the licensee shall enter into the database the following information:

(a) The new interest rate, if applicable.

(b) Whether a repayment plan was offered.

(d) The duration of the grace period, if any.

3. If a customer enters into a loan agreement which requires installment payments, the licensee must enter into the database the information required pursuant to subsection 1 for each installment payment.

(Added to NAC by Comm’r of Financial Institutions by R037-20, eff. 12-29-2020)

NAC 604A.360 Entry and maintenance of loan status in database. (NRS 604A.303) Each licensee shall enter into the database and maintain the status of each loan originated by that licensee, including, without limitation:

1. If the loan is in collection, whether being collected by the licensee or by a third party:

(a) The date on which the loan entered into collection.

(b) The payment history of the loan.

2. If the loan is in default:

(a) The date on which the loan entered into default.

(b) The payment history of the loan.

3. If the loan is in a grace period:

(a) The date on which the loan entered into the grace period.

(b) The payment history of the loan.

4. If the loan is in a repayment plan:

(a) The date on which the loan entered the repayment plan.

(b) The payment history of the loan.

5. If the loan is closed:

(a) The date on which the loan closed.

(b) The reason the loan was closed.

6. If a vehicle which secured a loan was ordered to be repossessed:

(a) The date on which the vehicle was ordered to be repossessed.

(b) The date on which the repossession of the vehicle occurred.

(Added to NAC by Comm’r of Financial Institutions by R037-20, eff. 12-29-2020)

NAC 604A.364 Retention of loan data and documentation. (NRS 604A.303) A licensee shall retain for not less than 3 years all data and documentation collected and reviewed for any loan, loan transaction or query made in the database. For the purposes of this section, “documentation” includes, without limitation:

1. All copies of the documents considered in determining the ability of a customer to repay a loan, including the gross monthly income of the customer, identity and credit history; and

2. For title loans, any third-party vendor documentation which shows the fair market value of the vehicle which secured the title loan and a copy of the title to the vehicle.

(Added to NAC by Comm’r of Financial Institutions by R037-20, eff. 12-29-2020)

NAC 604A.366 Prohibition on deletion of customer information; requirements if loan voided or rescinded. (NRS 604A.303)

1. Except as otherwise provided in NAC 604A.333, a licensee shall not delete any information relating to a customer that is entered into the database.

2. If a loan or loan transaction is voided or rescinded, a licensee must notate on the loan file and in the database that the loan or loan transaction is voided or rescinded, as applicable, and the reason that the loan or loan transaction is voided or rescinded. Except as otherwise provided in NAC 604A.333, the licensee shall not delete the voided or rescinded loan or loan transaction from the database.

(Added to NAC by Comm’r of Financial Institutions by R037-20, eff. 12-29-2020)

NAC 604A.368 Access to database by Commissioner for enforcement and compliance; periodic reports by Commissioner. (NRS 604A.303)

1. The Office of the Commissioner must have access to the database and will use the database as a tool of enforcement to ensure the compliance of each licensee with the provisions of this chapter and chapter 604A of NRS.

2. The Office of the Commissioner may periodically run reports for purposes other than examinations, investigations or internal reporting, including, without limitation, to publish online a report regarding the scope of the industry. The data in such a report must not disclose identifying customer information or information which identifies a licensee, including, without limitation, the name, address or number of the license of a licensee. The report may contain:

(a) The number of loans made for each loan product;

(b) The number of defaulted loans;

(c) The number of loans paid, including the number of loans paid by their respective due dates and loans paid after their respective due dates;

(d) The total amount borrowed and collected; and

(e) Any other permissible data that the Commissioner or his or her designee deems necessary.

(Added to NAC by Comm’r of Financial Institutions by R037-20, eff. 12-29-2020)

NAC 604A.370 Customer request for certain loan information. (NRS 604A.303) A customer may request from a licensee, without charge, fee or cost, a copy of his or her loan history, file, record and any other documentation relating to any loan for which the customer applied or the repayment of any loan made to the customer.

(Added to NAC by Comm’r of Financial Institutions by R037-20, eff. 12-29-2020)