Nevada Revised Statutes 604A.5021 – Prohibited acts by licensee: Improper lending and collection practices; deceptive trade practices; false, misleading and deceptive advertising; reinitiating certain transactions; using agent, affiliate or subsidiar…
A licensee who operates a deferred deposit loan service shall not:
Terms Used In Nevada Revised Statutes 604A.5021
- person: means a natural person, any form of business or social organization and any other nongovernmental legal entity including, but not limited to, a corporation, partnership, association, trust or unincorporated organization. See Nevada Revised Statutes 0.039
- Power of attorney: A written instrument which authorizes one person to act as another's agent or attorney. The power of attorney may be for a definite, specific act, or it may be general in nature. The terms of the written power of attorney may specify when it will expire. If not, the power of attorney usually expires when the person granting it dies. Source: OCC
1. Use or threaten to use the criminal process in this State or any other state, or any civil process not available to creditors generally, to collect on a deferred deposit loan made to a customer.
2. Commence a civil action or any process of alternative dispute resolution before the customer defaults under the original term of a loan agreement or before the customer defaults under any repayment plan or extension negotiated and agreed to by the licensee and customer, unless otherwise authorized pursuant to this chapter.
3. Take any confession of judgment or any power of attorney running to the licensee or to any third person to confess judgment or to appear for the customer in a judicial proceeding.
4. Include in any written agreement:
(a) A promise by the customer to hold the licensee harmless;
(b) A confession of judgment by the customer;
(c) An assignment or order for the payment of wages or other compensation due the customer; or
(d) A waiver of any claim or defense arising out of the loan agreement or a waiver of any provision of this chapter. The provisions of this paragraph do not apply to the extent preempted by federal law.
5. Engage in any deceptive trade practice, as defined in chapter 598 of NRS, including, without limitation, making a false representation.
6. Advertise or permit to be advertised in any manner any false, misleading or deceptive statement or representation with regard to the rates, terms or conditions for deferred deposit loans.
7. Reinitiate an electronic debit transaction that has been returned by a customer’s bank except in accordance with the rules prescribed by the National Automated Clearing House Association or its successor organization.
8. Use or attempt to use any agent, affiliate or subsidiary to avoid the requirements or prohibitions of this chapter.