Oregon Statutes 673.712 – Refund anticipation loan disclosures
(1) Prior to a taxpayer’s completion of an application for a refund anticipation loan, the facilitator shall clearly disclose in writing to the taxpayer on a form separate from the application:
Terms Used In Oregon Statutes 673.712
- Annual percentage rate: The cost of credit at a yearly rate. It is calculated in a standard way, taking the average compound interest rate over the term of the loan so borrowers can compare loans. Lenders are required by law to disclose a card account's APR. Source: FDIC
- Truth in Lending Act: The Truth in Lending Act is a federal law that requires lenders to provide standardized information so that borrowers can compare loan terms. In general, lenders must provide information on Source: OCC
(a) A listing or table of refund anticipation loan fees and the annual percentage rates, as defined by the federal Truth in Lending Act, 15 U.S.C. § 1601 et seq., charged by the facilitator or lender for three or more representative refund anticipation loan amounts. For each loan amount, the schedule shall list separately the amount of each fee and the amount of interest charged by the facilitator or lender and the total amount of fees and interest charged.
(b) That the refund anticipation loan is a loan and not the taxpayer’s actual personal income tax refund.
(c) That electronic filing of the taxpayer’s tax return is available without applying for a refund anticipation loan.
(d) The average time announced by the appropriate taxing authority within which the taxpayer can expect to receive a refund if the taxpayer does not obtain a refund anticipation loan and the taxpayer’s return is filed:
(A) Electronically and the refund is directly deposited in the taxpayer’s bank account; or
(B) By mail and the refund is directly deposited in the taxpayer’s bank account or mailed to the taxpayer.
(e) That the Internal Revenue Service does not guarantee:
(A) That the full amount of the anticipated refund will be paid; or
(B) A specific date on which the taxpayer will receive the refund.
(f) That the taxpayer is responsible for repayment of the loan and related fees in the event the tax refund is not paid or is not paid in full.
(g) The estimated time within which the proceeds of the loan will be paid to the taxpayer if the loan is approved.
(h) The fees charged by the facilitator or lender if the refund anticipation loan is not approved.
(2) Prior to entering into a refund anticipation loan agreement, the facilitator shall clearly disclose to the taxpayer:
(a) The estimated total fees for the loan.
(b) The estimated annual percentage rate, as defined by the federal Truth in Lending Act, 15 U.S.C. § 1601 et seq., for the loan. [2005 c.331 § 3]