Article 2.--FINANCE CHARGES AND RELATED PROVISIONS
16a-2-302.(UCCC) License to make supervised loans;
registration for residential mortgage loan originator fees.
(1) (a) The administrator shall receive and act on all applications for
licenses to make supervised loans and all applications for residential
mortgage loan originator registrations under this act. Applications shall
be
filed in the manner prescribed by the administrator and shall contain
the information the administrator may require by rule and regulation to
make an evaluation
of the financial responsibility, character and fitness of the applicant.
(b) Submitted with each application shall be a nonrefundable
application fee. Application, license and registration fees shall be in such
amounts as are established pursuant to subsection (5) of
K.S.A. 16a-6-104, and amendments thereto.
The license year shall be the calendar year.
Each license shall be nonrefundable and nonassignable, and shall remain
in force until
surrendered, suspended or revoked.
(c) The administrator shall remit all moneys received under K.S.A. 16a-1-101
to 16a-6-414, inclusive, and amendments thereto, to the state treasurer
in accordance with the provisions of K.S.A. 75-4215,
and amendments thereto. Upon
receipt of each such remittance, the state treasurer
shall
deposit the
entire amount in the state treasury. Of
each deposit 20% shall be credited to the state general fund and the
balance shall be credited to the bank
commissioner fee fund. All
expenditures from such fund shall be made in accordance with
appropriation acts upon warrants of the director of accounts and reports
issued pursuant to vouchers approved by the administrator or by a person
or persons designated by the administrator.
The 20% credit to the state general fund required by
this subsection (c) is to reimburse the state general fund for
accounting, auditing, budgeting, legal, payroll, personnel and
purchasing services, and any and all other state governmental services,
which are performed on behalf of the administrator by other state
agencies which receive appropriations from the state general fund to
provide such services.
(d) Every licensee and registrant shall, on or before the first day of
January, pay
to the administrator the license or registration fee prescribed under
this subsection
(1) for each license or registration held for the succeeding license
year. Failure to
pay the fee within the time prescribed shall automatically
revoke the license or registration.
(2) No license or registration shall be issued unless the
administrator, upon
investigation, finds that the financial responsibility, character and
fitness of the applicant, and of the members thereof if the applicant is
a copartnership or association and of the officers and directors
thereof, if the applicant is a corporation, are such as to warrant
belief that the business will be operated honestly and fairly within the
purposes of this act.
The administrator shall not base a registration denial solely on the
applicant's
credit score.
An applicant meets the minimum standard of
financial responsibility for engaging in the business of making
supervised loans, under subsection (1) of K.S.A. 16a-2-301, and amendments
thereto, only if:
(a) The applicant has filed with the
administrator a proper surety bond of at least $100,000 which has been approved
by the administrator.
The bond must provide within its terms that the bond shall not expire for
two years after the date of the surrender, revocation or expiration of the
subject license, whichever shall first occur.
The required surety bond may not be canceled by the
licensee without providing the administrator at least 30 days' prior written
notice, provided that such cancellation
shall not affect the surety's liability for violations of the uniform consumer
credit code occurring prior to the effective date of cancellation and principal
and surety shall be and remain liable for a period of two years from the date
of any action or inaction of the principal that gives rise to a claim under the
bond; and
(b) the applicant provides evidence in a form and manner prescribed by the
administrator that establishes the applicant will maintain a satisfactory
minimum net worth, as determined by the administrator, to engage in credit
transactions of the nature proposed by the applicant. Such net worth
requirements shall be established by the administrator pursuant to rule and
regulation and shall not exceed $500,000 for each applicant or licensee.
(3) The administrator may deny any application or renewal for a supervised
loan license
or a residential mortgage loan originator registration,
if the administrator finds:
(a) There is a refusal to furnish information required by the administrator
within a reasonable time as fixed by the administrator; or
(b) any of the factors stated
as grounds for denial, revocation or suspension of a license
in K.S.A. 16a-2-303 or K.S.A. 2009 Supp. 16a-2-303a, and amendments thereto.
(4) Upon written request the applicant is entitled to a
hearing on
the question of license qualifications
if: (a) The administrator has notified the applicant in
writing that the
application has been denied; or (b) the administrator has not
issued a
license within 60 days after the application for the license was
filed. A request for a hearing may not be made more than
15 days after the administrator has mailed a writing to the applicant
notifying the applicant that the application has been denied and stating in
substance the administrator's findings supporting denial of the
application.
(5) The administrator shall adopt rules and regulations regarding whether
a licensee shall be required to obtain a single license for each place of
business or whether a licensee may obtain a master license for all of its
places of business, and in so doing the administrator may differentiate between
licensees located in this state and licensees located elsewhere. Each license
shall remain in full force and effect until surrendered, suspended or
revoked.
(6) No licensee shall change the location of any place of
business
without giving the administrator at least 15 days prior
written notice.
(7) A licensee may conduct the business of making
loans for personal, family or household purposes
only at or from any place of business for which the licensee holds a
license and not under any other name than that in the license. Loans
made pursuant to a lender credit card do not violate this subsection.
History: L. 1973, ch. 85, § 19;
L. 1976, ch. 98, § 1;
L.1981, ch. 95, § 1;
L. 1999, ch. 107, § 12;
L. 1999, ch. 166, § 9;
L. 2000, ch. 27, § 2;
L. 2001, ch. 5, § 57;
L. 2005, ch. 144, § 9;
L. 2009, ch. 29, § 17; July 1.
Article 2.--FINANCE CHARGES AND RELATED PROVISIONS
16a-2-302.(UCCC) License to make supervised loans;
registration for residential mortgage loan originator fees.
(1) (a) The administrator shall receive and act on all applications for
licenses to make supervised loans and all applications for residential
mortgage loan originator registrations under this act. Applications shall
be
filed in the manner prescribed by the administrator and shall contain
the information the administrator may require by rule and regulation to
make an evaluation
of the financial responsibility, character and fitness of the applicant.
(b) Submitted with each application shall be a nonrefundable
application fee. Application, license and registration fees shall be in such
amounts as are established pursuant to subsection (5) of
K.S.A. 16a-6-104, and amendments thereto.
The license year shall be the calendar year.
Each license shall be nonrefundable and nonassignable, and shall remain
in force until
surrendered, suspended or revoked.
(c) The administrator shall remit all moneys received under K.S.A. 16a-1-101
to 16a-6-414, inclusive, and amendments thereto, to the state treasurer
in accordance with the provisions of K.S.A. 75-4215,
and amendments thereto. Upon
receipt of each such remittance, the state treasurer
shall
deposit the
entire amount in the state treasury. Of
each deposit 20% shall be credited to the state general fund and the
balance shall be credited to the bank
commissioner fee fund. All
expenditures from such fund shall be made in accordance with
appropriation acts upon warrants of the director of accounts and reports
issued pursuant to vouchers approved by the administrator or by a person
or persons designated by the administrator.
The 20% credit to the state general fund required by
this subsection (c) is to reimburse the state general fund for
accounting, auditing, budgeting, legal, payroll, personnel and
purchasing services, and any and all other state governmental services,
which are performed on behalf of the administrator by other state
agencies which receive appropriations from the state general fund to
provide such services.
(d) Every licensee and registrant shall, on or before the first day of
January, pay
to the administrator the license or registration fee prescribed under
this subsection
(1) for each license or registration held for the succeeding license
year. Failure to
pay the fee within the time prescribed shall automatically
revoke the license or registration.
(2) No license or registration shall be issued unless the
administrator, upon
investigation, finds that the financial responsibility, character and
fitness of the applicant, and of the members thereof if the applicant is
a copartnership or association and of the officers and directors
thereof, if the applicant is a corporation, are such as to warrant
belief that the business will be operated honestly and fairly within the
purposes of this act.
The administrator shall not base a registration denial solely on the
applicant's
credit score.
An applicant meets the minimum standard of
financial responsibility for engaging in the business of making
supervised loans, under subsection (1) of K.S.A. 16a-2-301, and amendments
thereto, only if:
(a) The applicant has filed with the
administrator a proper surety bond of at least $100,000 which has been approved
by the administrator.
The bond must provide within its terms that the bond shall not expire for
two years after the date of the surrender, revocation or expiration of the
subject license, whichever shall first occur.
The required surety bond may not be canceled by the
licensee without providing the administrator at least 30 days' prior written
notice, provided that such cancellation
shall not affect the surety's liability for violations of the uniform consumer
credit code occurring prior to the effective date of cancellation and principal
and surety shall be and remain liable for a period of two years from the date
of any action or inaction of the principal that gives rise to a claim under the
bond; and
(b) the applicant provides evidence in a form and manner prescribed by the
administrator that establishes the applicant will maintain a satisfactory
minimum net worth, as determined by the administrator, to engage in credit
transactions of the nature proposed by the applicant. Such net worth
requirements shall be established by the administrator pursuant to rule and
regulation and shall not exceed $500,000 for each applicant or licensee.
(3) The administrator may deny any application or renewal for a supervised
loan license
or a residential mortgage loan originator registration,
if the administrator finds:
(a) There is a refusal to furnish information required by the administrator
within a reasonable time as fixed by the administrator; or
(b) any of the factors stated
as grounds for denial, revocation or suspension of a license
in K.S.A. 16a-2-303 or K.S.A. 2009 Supp. 16a-2-303a, and amendments thereto.
(4) Upon written request the applicant is entitled to a
hearing on
the question of license qualifications
if: (a) The administrator has notified the applicant in
writing that the
application has been denied; or (b) the administrator has not
issued a
license within 60 days after the application for the license was
filed. A request for a hearing may not be made more than
15 days after the administrator has mailed a writing to the applicant
notifying the applicant that the application has been denied and stating in
substance the administrator's findings supporting denial of the
application.
(5) The administrator shall adopt rules and regulations regarding whether
a licensee shall be required to obtain a single license for each place of
business or whether a licensee may obtain a master license for all of its
places of business, and in so doing the administrator may differentiate between
licensees located in this state and licensees located elsewhere. Each license
shall remain in full force and effect until surrendered, suspended or
revoked.
(6) No licensee shall change the location of any place of
business
without giving the administrator at least 15 days prior
written notice.
(7) A licensee may conduct the business of making
loans for personal, family or household purposes
only at or from any place of business for which the licensee holds a
license and not under any other name than that in the license. Loans
made pursuant to a lender credit card do not violate this subsection.
History: L. 1973, ch. 85, § 19;
L. 1976, ch. 98, § 1;
L.1981, ch. 95, § 1;
L. 1999, ch. 107, § 12;
L. 1999, ch. 166, § 9;
L. 2000, ch. 27, § 2;
L. 2001, ch. 5, § 57;
L. 2005, ch. 144, § 9;
L. 2009, ch. 29, § 17; July 1.
Article 2.--FINANCE CHARGES AND RELATED PROVISIONS
16a-2-302.(UCCC) License to make supervised loans;
registration for residential mortgage loan originator fees.
(1) (a) The administrator shall receive and act on all applications for
licenses to make supervised loans and all applications for residential
mortgage loan originator registrations under this act. Applications shall
be
filed in the manner prescribed by the administrator and shall contain
the information the administrator may require by rule and regulation to
make an evaluation
of the financial responsibility, character and fitness of the applicant.
(b) Submitted with each application shall be a nonrefundable
application fee. Application, license and registration fees shall be in such
amounts as are established pursuant to subsection (5) of
K.S.A. 16a-6-104, and amendments thereto.
The license year shall be the calendar year.
Each license shall be nonrefundable and nonassignable, and shall remain
in force until
surrendered, suspended or revoked.
(c) The administrator shall remit all moneys received under K.S.A. 16a-1-101
to 16a-6-414, inclusive, and amendments thereto, to the state treasurer
in accordance with the provisions of K.S.A. 75-4215,
and amendments thereto. Upon
receipt of each such remittance, the state treasurer
shall
deposit the
entire amount in the state treasury. Of
each deposit 20% shall be credited to the state general fund and the
balance shall be credited to the bank
commissioner fee fund. All
expenditures from such fund shall be made in accordance with
appropriation acts upon warrants of the director of accounts and reports
issued pursuant to vouchers approved by the administrator or by a person
or persons designated by the administrator.
The 20% credit to the state general fund required by
this subsection (c) is to reimburse the state general fund for
accounting, auditing, budgeting, legal, payroll, personnel and
purchasing services, and any and all other state governmental services,
which are performed on behalf of the administrator by other state
agencies which receive appropriations from the state general fund to
provide such services.
(d) Every licensee and registrant shall, on or before the first day of
January, pay
to the administrator the license or registration fee prescribed under
this subsection
(1) for each license or registration held for the succeeding license
year. Failure to
pay the fee within the time prescribed shall automatically
revoke the license or registration.
(2) No license or registration shall be issued unless the
administrator, upon
investigation, finds that the financial responsibility, character and
fitness of the applicant, and of the members thereof if the applicant is
a copartnership or association and of the officers and directors
thereof, if the applicant is a corporation, are such as to warrant
belief that the business will be operated honestly and fairly within the
purposes of this act.
The administrator shall not base a registration denial solely on the
applicant's
credit score.
An applicant meets the minimum standard of
financial responsibility for engaging in the business of making
supervised loans, under subsection (1) of K.S.A. 16a-2-301, and amendments
thereto, only if:
(a) The applicant has filed with the
administrator a proper surety bond of at least $100,000 which has been approved
by the administrator.
The bond must provide within its terms that the bond shall not expire for
two years after the date of the surrender, revocation or expiration of the
subject license, whichever shall first occur.
The required surety bond may not be canceled by the
licensee without providing the administrator at least 30 days' prior written
notice, provided that such cancellation
shall not affect the surety's liability for violations of the uniform consumer
credit code occurring prior to the effective date of cancellation and principal
and surety shall be and remain liable for a period of two years from the date
of any action or inaction of the principal that gives rise to a claim under the
bond; and
(b) the applicant provides evidence in a form and manner prescribed by the
administrator that establishes the applicant will maintain a satisfactory
minimum net worth, as determined by the administrator, to engage in credit
transactions of the nature proposed by the applicant. Such net worth
requirements shall be established by the administrator pursuant to rule and
regulation and shall not exceed $500,000 for each applicant or licensee.
(3) The administrator may deny any application or renewal for a supervised
loan license
or a residential mortgage loan originator registration,
if the administrator finds:
(a) There is a refusal to furnish information required by the administrator
within a reasonable time as fixed by the administrator; or
(b) any of the factors stated
as grounds for denial, revocation or suspension of a license
in K.S.A. 16a-2-303 or K.S.A. 2009 Supp. 16a-2-303a, and amendments thereto.
(4) Upon written request the applicant is entitled to a
hearing on
the question of license qualifications
if: (a) The administrator has notified the applicant in
writing that the
application has been denied; or (b) the administrator has not
issued a
license within 60 days after the application for the license was
filed. A request for a hearing may not be made more than
15 days after the administrator has mailed a writing to the applicant
notifying the applicant that the application has been denied and stating in
substance the administrator's findings supporting denial of the
application.
(5) The administrator shall adopt rules and regulations regarding whether
a licensee shall be required to obtain a single license for each place of
business or whether a licensee may obtain a master license for all of its
places of business, and in so doing the administrator may differentiate between
licensees located in this state and licensees located elsewhere. Each license
shall remain in full force and effect until surrendered, suspended or
revoked.
(6) No licensee shall change the location of any place of
business
without giving the administrator at least 15 days prior
written notice.
(7) A licensee may conduct the business of making
loans for personal, family or household purposes
only at or from any place of business for which the licensee holds a
license and not under any other name than that in the license. Loans
made pursuant to a lender credit card do not violate this subsection.
History: L. 1973, ch. 85, § 19;
L. 1976, ch. 98, § 1;
L.1981, ch. 95, § 1;
L. 1999, ch. 107, § 12;
L. 1999, ch. 166, § 9;
L. 2000, ch. 27, § 2;
L. 2001, ch. 5, § 57;
L. 2005, ch. 144, § 9;
L. 2009, ch. 29, § 17; July 1.