Preproposal statement of inquiry was filed as WSR 08-04-070.
Title of Rule and Other Identifying Information: Amending the rules in chapter 208-630 WAC implementing the Check Cashers and Sellers Act, chapter 31.45 RCW.
Hearing Location(s): Department of Financial Institutions, 150 Israel Road S.W., Room 319, Tumwater, WA 98501, on July 10, 2008, at 1-3 p.m.
Date of Intended Adoption: August 5, 2008.
Submit Written Comments to: Elizabeth Stancil, P.O. Box 41200, Olympia, WA 98504-1200, e-mail email@example.com, fax (360) 586-5068, by July 9, 2008.
Assistance for Persons with Disabilities: Contact Elizabeth Stancil by June 27, 2008, TTY (360) 664-8126 or (360) 902-8786.
Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: The amendments are to the annual reporting requirements. The amendments clarify licensee reporting requirements and are technical changes to clarify or correct scrivener's errors.
Reasons Supporting Proposal: Clarification and consistency.
Statutory Authority for Adoption: RCW 43.320.040.
Statute Being Implemented: Chapter 31.45 RCW.
Rule is not necessitated by federal law, federal or state court decision.
Name of Proponent: Department of financial institutions, governmental.
Name of Agency Personnel Responsible for Drafting, Implementation and Enforcement: Cindy Fazio, 150 Israel Road, Olympia, WA, (360) 902-8800.
No small business economic impact statement has been prepared under chapter 19.85 RCW. The rule amendments will not impose more than minor costs on the businesses impacted by the proposed rules.
A cost-benefit analysis is not required under RCW 34.05.328. Not applicable to the proposed rules.
June 4, 2008
Deborah Bortner, Director
Division of Consumer Services
AMENDATORY SECTION(Amending WSR 05-22-009, filed 10/21/05, effective 11/21/05)
WAC 208-630-830 What are a licensee's annual ((
and)) reporting requirements?
(( Each licensee must submit the
reports of its Washington activities described in this
section, on a form prescribed and made available by the
director, due not later than one hundred five days after the
close of the calendar year (or fiscal year if a licensee has
established a fiscal year different from the calendar year).
Licensees must make each report for the prior calendar year or
fiscal year, which shall be referred to in these rules as the
"period." A consolidated annual report must contain:)) On or
before April 15, each licensee must submit financial
statements for the calendar year just ended. If the licensee
has established a fiscal year different from the calendar
year, the financial statements are due not later than one
hundred five days after the close of the fiscal year.
(1) Annual financial statements. The financial statements must include at least a balance sheet and a statement of income prepared in accordance with generally accepted accounting principles.
(2) Annual assessment report (AAR). Each licensee must submit an AAR of its Washington activities, in a form prescribed by the director. The AAR must contain the following:
(a) The total dollar volume of checks cashed during the period, if applicable; and
(b) The total dollar volume of checks sold during the period, if applicable; and
(c) The total dollar volume of small loans made during the period, if applicable; and
(d) The annual assessment fee calculation. See WAC 208-630-400.
(3) Consolidated annual report (CAR). Each licensee must submit a CAR of its Washington activities, in a form prescribed by the director. The CAR must contain at least the following:
(a) For all licensees, the CAR must contain:
(i) The total number of employees and annual payroll during the period;
(2))) (ii) The total number and dollar volume of
transactions during the period;
(3))) (iii) The total dollar amount of fees collected
during the period;
(4))) (iv) The total number and dollar amount of
undeposited checks taken or held in connection with check
cashing and small loan endorsement business at the end of the
(5))) (v) The total number and dollar amount of
returned (NSF) checks taken or held in connection with check
cashing and small loan business at the end of the period, and
the total dollar amount of fees collected for returned (NSF)
checks during the period;
(6))) (vi) The total number and dollar amount of
charge-offs (losses), net of any recoveries, for the period;
(7))) (vii) The total dollar amount of net income
before and after taxes earned under authority of this chapter.
(viii) Such other relevant information as the director may require, in a form prescribed by the director.
(b) For all licensees with a small loan endorsement, the CAR must contain:
(i) The total dollar volume of small loans made during the period, including payment plan loans;
(ii) The total number of loans made for the period;
(iii) The total number of borrowers for the period;
(iv) The number of borrowers whose accounts were referred to collection agencies;
(v) The number of loans rescinded during the period;
(vi) The number of borrowers entering into a payment plan;
(vii) The number of loans made to borrowers to be paid through an ACH (automated clearing house) or other electronic transaction;
(viii) The number of loans made to borrowers through other than a physical visit to the licensee's location (e.g., internet, telephone, etc.); and
(ix) The number of active military borrowers during the period.
(c) For all licensees with small loan endorsements and total loan volume of at least ten million dollars in principal for the reporting period, the CAR must contain the following:
(i) The number of loans per borrower for the period;
(ii) The number of loans per military borrower during the period; and
(iii) The number of loans with terms in each of the following categories for the period:
(A) One to seven days;
(B) Eight to fourteen days;
(C) Fifteen to twenty-one days;
(D) Twenty-two to thirty-one days; and
(E) Thirty-two or more days.
[Statutory Authority: RCW 31.04.165, 43.320.040, 31.45.030, 31.45.050, 31.45.200. 05-22-009, § 208-630-830, filed 10/21/05, effective 11/21/05.]
[Statutory Authority: RCW 31.04.165, 43.320.040, 31.45.030, 31.45.050, 31.45.200. 05-22-009, § 208-630-410, filed 10/21/05, effective 11/21/05.]
The following sections of the Washington Administrative Code are repealed:
|WAC 208-630-410||What happens if a licensee is late with an annual assessment fee?|
|WAC 208-630-850||What information must a licensee have in the annual assessment report?|
|WAC 208-630-860||If licensee has a small loan endorsement, what other reports must be filed?|
|WAC 208-630-870||If a licensee has a loan volume of at least ten million dollars in principal in the year prior, what additional reports must the licensee file with the director?|
|WAC 208-630-900||What additional information must a licensee include with annual reports and financial statements?|