Occupations: pawnbrokers; allowable rate of interest charged by pawnbrokers; increase, and prescribe civil sanctions. Amends secs. 8 & 9 of 1917 PA 273 (MCL 446.208 & 446.209). TIE BAR WITH: HB 5535'24

This bill proposes to increase the maximum monthly interest rate pawnbrokers in Michigan can charge from 3% to 5%, while also raising the minimum interest requirement to 50 cents per loan. It updates the mandatory text printed on loan receipts to reflect this new 5% cap and clarifies that loans exceeding this rate are automatically void. The legislation also maintains the existing fee for storing unencumbered property at $3.00 per month and prohibits charging interest on unpaid balances in advance. This measure directly affects licensed pawnbrokers and consumers who use their services for short-term loans.