13-06-01-11 - Procedures

13-06-01-11. Procedures

1. Each document used in the transaction process bearing evidence of indebtedness, and executed by a check maker, must bear a transaction number.

2. The name and address of the licensee making the transaction must appear on all disclosure statements, all written agreements, and any other documents associated with the transaction.

3. At the time any transaction is made, the licensee shall give to the maker of the check a written disclosure statement. The written disclosure statement must be in a font size not less than ten point. The disclosure statement must be signed by the check maker.

4. The disclosure statement must contain the following items, which must be explained to and initialed by the check maker:

a. The schedule of fees charged;

b. No security held as condition of transaction or method of collection; and

c. Information required under federal law:

(1) Truth in Lending Act [15 U.S.C. 1601].

(2) Privacy notice under Federal Trade Commission Regulation - Privacy of Consumer Financial Information [16 CFR, part 313].

(3) Equal Credit Opportunity Act [15 U.S.C. 1691 - 1691 f].

5. A licensee may not take any written agreement or other document related to the transaction in which the blanks are not filled in completely before the proceeds of the transaction are delivered. All spaces or sections not used in the preparation of legal documents must be ruled out or designated as "none" or "N/A".

(Effective July 1, 2001.)

General Authority: NDCC 13-08-10

Law Implemented: NDCC 13-08-12(1)

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