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HomeFinancial Code§ 23057 Payday Loan Industry Report

§ 23057 Payday Loan Industry Report

Financial Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 23057 Payday Loan Industry Report

Key Takeaways

  • •The law requires a report on payday loans (called deferred deposit transactions) to be sent to the Governor and Legislature by December 1, 2007.
  • •The report must include details like how many people use payday loans, how the industry is growing, common business practices, and advertising rules.
  • •The report may suggest changes to protect people, like lowering fees, changing loan lengths, or offering installment loans instead of payday loans.
  • •Payday loan companies must give the commissioner any information needed for the report, but private business secrets won’t be shared publicly.

Example

A person takes out a payday loan to cover rent but gets stuck in a cycle of high fees and debt.

The law requires a study to see if payday loans are causing problems like this and if new rules (like lower fees or longer repayment times) could help protect people.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 23057 Payday Loan Industry Report

On December 1, 2007, the commissioner shall report to the Governor and the Legislature on its implementation of this division. The report shall include, at a minimum, information regarding the demand for deferred deposit transactions, the growth and trends in the industry, common practices for conducting the business of deferred deposit transactions, the advertising practices of the industry, including any violations of Section 23027, and any other information the commissioner deems necessary to inform the Governor and the Legislature regarding potential legislation that may be necessary to protect the people of the State of California. The commissioner’s recommendations for future action may include, but are not limited to, changes in the fees charged to consumers, specifications regarding the length of time for deferred deposit transactions, maximum amount provided to consumers, additional regulation of advertising practices, and the implementation of an installment loan product in lieu of a deferred deposit transaction as described in this division. As the commissioner conducts this study, licensees shall be required to supply all information the commissioner deems necessary. The study shall be made public and may not include any proprietary information. (Amended by Stats. 2004, Ch. 312, Sec. 1. Effective January 1, 2005.)

Last verified: January 23, 2026

Key Terms

informationdeferred deposit transactionsregulationgovernorcommissionofferportlegislature

Related Statutes

  • § 23046 Deferred Deposit Business Examinations
  • § 23052 License Suspension Or Revocation
  • § 28130 Licensee Compliance Requirements
  • § 28108 Student Loan Servicer Investigations
  • § 31800 False Statements Prohibited

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Financial Code. Section 23057.
View Official Source