An Act To Establish Consumer Protections Regarding Small Dollar Loans

LD 314 creates the "Maine Small Dollar Consumer Protection Act" to regulate loans under $2,500 for personal use. It directly affects small-dollar lenders (excluding banks/credit unions) and consumers taking such loans, prohibiting deceptive practices like disguising loans as property sales. Key provisions require lenders to provide a signed loan copy, ban payment method fees, grant a 3-day cancellation right, and restrict loan renewals unless 30% of payments are made or 50% of principal is repaid. The law also prevents multiple open small-dollar loans with different lenders and mandates equal installment payments over 90-365 days.