Section 367.509

Title XXIV BUSINESS AND FINANCIAL INSTITUTIONS

Chapter 367

Effective - 28 Aug 2003, 2 histories   

  367.509.  Qualifications of applicants, fee, license issued, when. — 1.  A title loan license applicant must have and maintain capital of at least seventy-five thousand dollars at all times.

  2.  The license application shall be in writing, under oath and in the form prescribed by the director.  The application shall contain the name of the applicant, date of formation if a business entity, the address of each title loan office operated or sought to be operated, the name and residential address of the owner, partners, directors, trustees and principal officers, and such other pertinent information as the director may require.  A corporate surety bond in the principal sum of twenty thousand dollars per location shall accompany each license application.  The bond shall be in a form satisfactory to the director and shall be issued by a bonding company or insurance company authorized to do business in this state in order to ensure the faithful performance of the obligations of the applicant and the applicant's agents and subagents in connection with title loan activities.  An applicant or licensee may, in lieu of filing any bond required pursuant to this section, provide the director with an irrevocable letter of credit as defined in section 400.5-103 in the amount of twenty thousand dollars per location, issued by any bank, trust company, savings and loan or credit union operating in Missouri in a form acceptable to the director.

  3.  Every person applying for a title loan license shall pay one thousand dollars as an investigation fee.  Applicants for additional title lending licenses shall pay one thousand dollars per additional location as an investigation fee.  The lender shall, beginning with the first license renewal, pay annually to the director a fee of one thousand dollars for each licensed location.

  4.  Each license shall specify the location of the title loan office and shall be conspicuously displayed therein.  Before any title lending office may relocate, the director shall approve such relocation by mailing the licensee a new license to that effect, without charge.

  5.  Upon the filing of the application, and the payment of the fee, by a person eligible to apply for a title loan license, the director shall issue a license to engage in the title loan business in accordance with sections 367.500 to 367.533.  The licensing year shall commence on January first and end the following December thirty-first.  The director may establish a biennial licensing arrangement but in no case shall the fees be payable for more than one year at a time.  Each license shall be uniquely numbered and shall not be transferable or assignable.

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(L. 1998 H.B. 1526 § 4, A.L. 2001 H.B. 738 merged with S.B. 186, A.L. 2003 S.B. 346)