Nevada Revised Statutes 675.3697 – Prohibited practices by licensee
A licensee shall not make a loan under this chapter that constitutes consumer credit to a covered service member or a dependent of a covered service member with respect to which:
Terms Used In Nevada Revised Statutes 675.3697
- Consumer credit: has the meaning ascribed to it in NRS 604A. See Nevada Revised Statutes 675.020
- Covered service member: has the meaning ascribed to it in NRS 604A. See Nevada Revised Statutes 675.020
- Licensee: means a person to whom one or more licenses have been issued. See Nevada Revised Statutes 675.020
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
- Recourse: An arrangement in which a bank retains, in form or in substance, any credit risk directly or indirectly associated with an asset it has sold (in accordance with generally accepted accounting principles) that exceeds a pro rata share of the bank's claim on the asset. If a bank has no claim on an asset it has sold, then the retention of any credit risk is recourse. Source: FDIC
1. The borrower is required to waive the borrower’s right to legal recourse under any otherwise applicable provision of state or federal law, including, without limitation, any provision of the Servicemembers Civil Relief Act, 50 U.S.C. § 3901 et seq.;
2. The licensee imposes onerous legal notice provisions in the case of a dispute or demands unreasonable notice from the borrower as a condition for legal action;
3. The licensee uses a check or other method of access to a deposit, savings or other financial account maintained by the borrower, or the title of a vehicle as security for the obligation;
4. The licensee requires as a condition for the extension of consumer credit that the borrower establish an allotment to repay an obligation; or
5. The borrower is prohibited from prepaying the loan or is charged a penalty or fee for prepaying all or part of the loan.