California Code
Financial Code - FIN
DIVISION 9 - CALIFORNIA FINANCING LAW

CHAPTER 1 - General Provisions

ARTICLE 1 - Definitions

Section 22000. - 22000. This division is known and may be cited as...

Section 22001. - 22001. (a) This division shall be liberally construed and applied...

Section 22002. - 22002. To accomplish its underlying purposes and policies, this division...

Section 22003. - 22003. Unless the context otherwise requires, the definitions given in...

Section 22003.5. - 22003.5. “Assessment contract” means an agreement entered into between all...

Section 22003.5. - 22003.5. “Assessment contract” means an agreement entered into between all...

Section 22004. - 22004. “Broker” includes any person who is engaged in the...

Section 22005. - 22005. “Commissioner” means the Commissioner of Financial Protection and Innovation....

Section 22006. - 22006. As used in this division, the terms “security interest,”...

Section 22007. - 22007. (a) “Licensee” means any finance lender, broker, or program...

Section 22008. - 22008. “Person” means an individual, a corporation, a partnership, a...

Section 22009. - 22009. “Finance lender” includes any person who is engaged in...

Section 22010. - 22010. (a) “Finance lender,” “broker,” and “program administrator” do not...

Section 22011. - 22011. A “regulatory ceiling provision” is a statement in a...

Section 22012. - 22012. (a) “Branch office license” means a license to engage...

Section 22013. - 22013. (a) “Mortgage loan originator” means an individual who, for...

Section 22014. - 22014. (a) A loan processor or underwriter who does not...

Section 22015. - 22015. “PACE assessment” means a voluntary contractual assessment, voluntary special...

Section 22016. - 22016. “PACE program” means a program in which financing is...

Section 22017. - 22017. (a) “PACE solicitor” means a person authorized by a...

Section 22018. - 22018. (a) “Program administrator” means a person administering a PACE...

Section 22018.5. - 22018.5. “Property owner” means all property owners of record on...

Section 22019. - 22019. “Efficiency improvement” means one or more permanent improvements fixed...

Section 22020. - 22020. “Public agency” means a city, including a charter city,...

ARTICLE 2 - Exemptions

Section 22050. - 22050. (a) This division does not apply to any person...

Section 22050.5. - 22050.5. This division does not apply to any person who...

Section 22051. - 22051. This division does not apply to the following: (a)...

Section 22052. - 22052. This division does not apply to any loan of...

Section 22053. - 22053. In any proceeding under this law, the burden of...

Section 22054. - 22054. This division does not apply to bona fide conditional...

Section 22055. - 22055. This division does not apply to premium financing as...

Section 22056. - 22056. This division does not apply to the California Infrastructure...

Section 22057. - 22057. This division does not apply to any loan that...

Section 22058. - 22058. This division does not apply to any cemetery broker...

Section 22059. - 22059. A license to act as a broker under this...

Section 22060. - 22060. This division does not apply to a loan made...

Section 22061. - 22061. (a) This division does not apply to any nonprofit...

Section 22062. - 22062. (a) This division does not apply to either of...

Section 22063. - 22063. (a) This division does not apply to a franchise...

Section 22064. - 22064. (a) This division does not apply to the following:...

Section 22065. - 22065. (a) Persons not subject to this division may apply...

Section 22066. - 22066. (a) The Legislature finds and declares that nonprofit organizations...

Section 22067. - 22067. (a) On or before July 1 of each year,...

Section 22068. - 22068. (a) The exemptions and exclusions in this article are...

ARTICLE 3 - Licensing

Section 22100. - 22100. (a) No person shall engage in the business of...

Section 22100.5. - 22100.5. (a) A person shall not engage in the business...

Section 22101. - 22101. (a) An application for a license as a finance...

Section 22101.5. - 22101.5. (a) The commissioner shall submit to the Department of...

Section 22102. - 22102. (a) A finance lender, broker, or program administrator licensee...

Section 22103. - 22103. (a) At the time of filing the application for...

Section 22104. - 22104. (a) The applicant shall file with the application for...

Section 22105. - 22105. (a) Upon the filing of an application pursuant to...

Section 22105.1. - 22105.1. (a) An applicant for a mortgage loan originator license...

Section 22105.2. - 22105.2. (a) The commissioner is authorized to establish relationships or...

Section 22105.3. - 22105.3. (a) Except as otherwise provided in Section 1512 of...

Section 22105.4. - 22105.4. The commissioner shall regularly report violations of this division,...

Section 22106. - 22106. (a) The finance lender, broker, or program administrator license...

Section 22107. - 22107. (a) Each finance lender, broker, or program administrator licensee...

Section 22108. - 22108. (a) The commissioner may by rule require licensees to...

Section 22109. - 22109. (a) Upon reasonable notice and opportunity to be heard,...

Section 22109.1. - 22109.1. (a) The commissioner shall deny an application for a...

Section 22109.2. - 22109.2. (a) An applicant for a mortgage loan originator license...

Section 22109.3. - 22109.3. (a) An applicant for a mortgage loan originator license...

Section 22109.4. - 22109.4. (a) A mortgage loan originator shall comply with the...

Section 22109.5. - 22109.5. (a) A licensed mortgage loan originator shall complete at...

Section 22109.6. - 22109.6. In addition to any other duties imposed upon the...

Section 22110. - 22110. The proceedings for a denial of a license shall...

Section 22111. - 22111. All money paid or collected under this division shall...

Section 22112. - 22112. (a) A licensee shall maintain a surety bond in...

ARTICLE 4 - Regulations

Section 22150. - 22150. The commissioner may make general rules and regulations and...

Section 22151. - 22151. (a) A finance lender license, broker license, program administrator...

Section 22152. - 22152. (a) A finance lender, broker, or program administrator licensee...

Section 22153. - 22153. (a) If a finance lender, broker, or program administrator...

Section 22154. - 22154. (a) Subject to Section 22157.1, a licensee shall not...

Section 22155. - 22155. Subject to Section 22157.1, a finance lender, broker, mortgage...

Section 22156. - 22156. (a) Finance lender, broker, program administrator, and mortgage loan...

Section 22157. - 22157. (a) Finance lender, broker, and mortgage loan originator licensees...

Section 22157.1. - 22157.1. (a) For purposes of this section: (1) “Encrypted” has...

Section 22158. - 22158. Nothing contained in Sections 22156 and 22157 shall require...

Section 22159. - 22159. (a) Each finance lender, broker, and program administrator licensee...

Section 22159.5. - 22159.5. (a) The commissioner may, as the commissioner deems necessary,...

Section 22160. - 22160. The commissioner shall make and file annually with the...

Section 22161. - 22161. (a) A person subject to this division shall not...

Section 22162. - 22162. (a) A finance lender, broker, or mortgage loan originator...

Section 22163. - 22163. (a) The commissioner may require that rates of charge,...

Section 22164. - 22164. (a) If any person engaged in the business regulated...

Section 22165. - 22165. No advertising copy shall be used after its use...

Section 22166. - 22166. The commissioner may require licensees to maintain a file...

Section 22167. - 22167. A licensed finance lender may act as a broker...

Section 22168. - 22168. (a) The commissioner may, after appropriate notice and opportunity...

Section 22169. - 22169. (a) The commissioner may, after appropriate notice and opportunity...

Section 22170. - 22170. (a) It is unlawful for any person to knowingly...

Section 22171. - 22171. (a) The commissioner shall apply the guidance on nontraditional...

Section 22172. - 22172. (a) The commissioner may do one or more of...

CHAPTER 2 - Consumer Loans

ARTICLE 1 - Definitions

Section 22200. - 22200. “Charges” include the aggregate interest, fees, bonuses, commissions, brokerage,...

Section 22201. - 22201. “Charges” include any profit or advantage of any kind...

Section 22202. - 22202. “Charges” do not include any of the following: (a)...

Section 22203. - 22203. “Consumer loan” means a loan, whether secured by either...

Section 22204. - 22204. (a) In addition to the definition of consumer loan...

ARTICLE 2 - Exemptions

Section 22250. - 22250. (a) The following sections do not apply to any...

Section 22251. - 22251. Any section that refers to this section does not...

Section 22252. - 22252. This chapter does not apply to a program administrator...

ARTICLE 3 - Loan Regulations

Section 22300. - 22300. No licensee shall directly or indirectly charge, contract for,...

Section 22301. - 22301. (a) No licensee shall directly or indirectly charge, contract...

Section 22302. - 22302. (a) Section 1670.5 of the Civil Code applies to...

Section 22303. - 22303. Every licensee who lends any sum of money may...

Section 22304. - 22304. As an alternative to the charges authorized by Section...

Section 22304.5. - 22304.5. (a) For any loan of a bona fide principal...

Section 22305. - 22305. In addition to the charges authorized by Section 22303,...

Section 22306. - 22306. No amount in excess of that allowed by this...

Section 22307. - 22307. (a) Except as provided in Section 22305 and Article...

Section 22307.5. - 22307.5. A licensee shall not charge, impose, or receive any...

Section 22308. - 22308. Notwithstanding Section 22307, a licensee may contract for and...

Section 22309. - 22309. Except as provided in Section 22305 and Article 4...

Section 22310. - 22310. (a) Except for a rebate or refund pursuant to...

Section 22311. - 22311. No person in connection with or incidental to the...

Section 22312. - 22312. No person in connection with or incidental to the...

Section 22313. - 22313. Insurance on tangible personal or real property offered as...

Section 22314. - 22314. (a) Credit insurance shall not be deemed to be...

Section 22315. - 22315. (a) Credit disability insurance written pursuant to Section 22314...

Section 22316. - 22316. A licensee may collect the cost of a lot...

Section 22317. - 22317. On any loan made that is secured by real...

Section 22317.2. - 22317.2. (a) A licensee may collect a fee for use...

Section 22317.5. - 22317.5. On any loan secured by real property, a licensee...

Section 22318. - 22318. On any loan made that is secured by real...

Section 22319. - 22319. On any loan that is secured by real property,...

Section 22320. - 22320. With respect to a loan under this division, a...

Section 22320.5. - 22320.5. (a) A licensee may contract for and receive a...

Section 22321. - 22321. If credit loss-of-income insurance is provided pursuant to this...

Section 22322. - 22322. A loan lawfully made outside the state may be...

Section 22323. - 22323. Any person who collects or attempts to collect in...

Section 22324. - 22324. Any person who contracts for or negotiates in this...

Section 22325. - 22325. Every licensee shall display prominently in each licensed place...

Section 22326. - 22326. No person, except as authorized by this division, shall...

Section 22327. - 22327. No licensee shall knowingly induce any borrower to split...

Section 22328. - 22328. (a) This section applies to a loan secured in...

Section 22329. - 22329. (a) This section applies to a loan secured in...

Section 22329.5. - 22329.5. A licensee, or the agent of a licensee, that...

Section 22330. - 22330. No licensee shall take a deed of trust, mortgage,...

Section 22331. - 22331. No licensee shall take any confession of judgment or...

Section 22332. - 22332. No licensee shall take any note or promise to...

Section 22333. - 22333. No licensee shall take any instrument in which blanks...

Section 22334. - 22334. (a) Except as provided in subdivision (b), a licensee...

Section 22335. - 22335. The payment by any person in money, credit, goods,...

Section 22336. - 22336. This article does not prohibit any licensee from contracting...

Section 22337. - 22337. Each licensed finance lender shall: (a) Deliver or cause...

Section 22338. - 22338. Each licensed broker shall: (a) Deliver to the borrower,...

Section 22339. - 22339. Nothing contained in this article shall be construed to...

Section 22340. - 22340. (a) A licensee may sell promissory notes evidencing the...

Section 22340.1. - 22340.1. (a) A licensee that is a finance lender may...

Section 22341. - 22341. (a) No licensee may make a loan to refinance...

Section 22342. - 22342. (a) As used in this section, “instant loan check”...

Section 22345. - 22345. (a) Any person who violates any provision of Section...

Section 22346. - 22346. Any licensee that violates any provision of any of...

Section 22347. - 22347. The unique identifier of any licensed mortgage loan originator...

ARTICLE 3.6 - Pilot Program for Increased Access to Responsible Small Dollar Loans

Section 22365. - 22365. (a) The Pilot Program for Increased Access to Responsible...

Section 22366. - 22366. (a) Any entity licensed under this chapter that wishes...

Section 22367. - 22367. Every entity approved by the commissioner to participate in...

Section 22368. - 22368. Except as otherwise provided, nothing in this article shall...

Section 22369. - 22369. No licensee may offer or make a loan, nor...

Section 22370. - 22370. (a) A loan made pursuant to this section shall...

Section 22371. - 22371. (a) A licensee who is approved by the commissioner...

Section 22372. - 22372. (a) A finder may perform one or more of...

Section 22373. - 22373. (a) At the time the finder receives or processes...

Section 22374. - 22374. (a) A finder may be compensated by the licensee...

Section 22375. - 22375. A licensee that utilizes the service of a finder...

Section 22376. - 22376. All arrangements between a licensee and a finder shall...

Section 22377. - 22377. (a) The commissioner may examine the operations of each...

Section 22378. - 22378. Notwithstanding the requirements of Section 22102 and its implementing...

Section 22379. - 22379. (a) Notwithstanding any other law, the commissioner shall examine...

Section 22380. - 22380. (a) On or before July 1, 2015, and annually...

Section 22380.5. - 22380.5. (a) The Pilot Program for Affordable Credit-Building Opportunities as...

Section 22381. - 22381. This article shall remain in effect only until January...

ARTICLE 4 - Charges On Scheduled Balances

Section 22400. - 22400. This article applies only to loan contracts payable in...

Section 22401. - 22401. With respect to precomputed loans, licensees shall be subject...

Section 22402. - 22402. When charges on a loan of an original bona...

ARTICLE 5 - Open-End Loan Programs

Section 22450. - 22450. As used in this division, “open-end credit program” means...

Section 22451. - 22451. If an open-end credit program is not primarily for...

Section 22452. - 22452. Subject to the written approval of the commissioner of...

Section 22453. - 22453. The minimum monthly payment shall be determined by any...

Section 22454. - 22454. On open-end loans, the licensee may contract for and...

Section 22455. - 22455. (a) In lieu of subdivisions (b), (c), (d), (e),...

Section 22456. - 22456. Section 22309 shall apply to open-end loans with the...

Section 22457. - 22457. In lieu of Section 22332, the open-end loan agreement...

Section 22458. - 22458. In lieu of subdivision (a) of Section 22337, with...

Section 22459. - 22459. Subdivision (e) of Section 22337 shall not apply to...

Section 22460. - 22460. Section 22333 shall not apply to a change in...

Section 22461. - 22461. Subdivision (a) of Section 22151, Sections 22154 and 22325,...

Section 22462. - 22462. The payment of fees for participation in an open-end...

Section 22463. - 22463. Nothing in this article limits the authority of the...

Section 22464. - 22464. This article does not apply to loans other than...

Section 22465. - 22465. Section 22400 does not apply to open-end loans. (Repealed...

Section 22466. - 22466. An open-end loan is in compliance with Section 22330...

Section 22467. - 22467. (a) Any section that refers to this section or...

ARTICLE 6 - Disclosure of Loan Applications

Section 22470. - 22470. (a) (1) Upon the request of a person who...

CHAPTER 3 - Commercial Loans

ARTICLE 1 - Definitions

Section 22500. - 22500. “Charges” include the aggregate interest, fees, bonuses, commissions, brokerage,...

Section 22501. - 22501. “Charges” do not include commissions received as a licensed...

Section 22502. - 22502. “Commercial loan” means a loan of a principal amount...

ARTICLE 2 - Exemptions

Section 22550. - 22550. Sections 22152, 22154, 22155, 22163, and 22164 do not...

Section 22551. - 22551. In determining whether a loan is a loan of...

Section 22552. - 22552. This chapter does not apply to a program administrator...

ARTICLE 3 - Loan Regulations

Section 22600. - 22600. (a) A licensee may sell promissory notes evidencing the...

Section 22600.1. - 22600.1. (a) A licensee that is a finance lender may...

Section 22601. - 22601. With respect to a loan under this division, a...

Section 22602. - 22602. (a) A licensee that is a finance lender may...

Section 22603. - 22603. A licensee that is a finance lender shall provide...

Section 22604. - 22604. (a) Any person that receives compensation in connection with...

ARTICLE 4 - Open-End Credit Programs

Section 22650. - 22650. As used in this division, “open-end credit program” means...

CHAPTER 3.5 - Program Administrators

Section 22680. - 22680. (a) A person shall not engage in the business...

Section 22681. - 22681. (a) A program administrator shall establish and maintain a...

Section 22682. - 22682. (a) A program administrator shall, in the manner prescribed...

Section 22683. - 22683. A program administrator shall develop and implement policies and...

Section 22684. - 22684. A program administrator shall not execute an assessment contract,...

Section 22685. - 22685. (a) A program administrator shall derive market value using...

Section 22686. - 22686. A program administrator shall not execute an assessment contract,...

Section 22687. - 22687. (a) A program administrator shall determine before executing an...

Section 22688. - 22688. A program administrator shall be subject to all provisions...

Section 22689. - 22689. (a) A program administrator shall not permit a PACE...

Section 22690. - 22690. (a) A program administrator is subject to an inspection,...

Section 22690.5. - 22690.5. (a) The department shall maintain, on its Internet Web...

Section 22691. - 22691. The commissioner may by any rules he or she...

Section 22692. - 22692. (a) The commissioner shall require a program administrator to...

Section 22693. - 22693. (a) The commissioner may, by rule, require a program...

Section 22694. - 22694. This chapter does not apply to a finance lender,...

Section 22695. - 22695. (a) A violation of this chapter by any person...

Section 22696. - 22696. Except as provided in Sections 22684, 22685, 22686, 22687,...

Section 22697. - 22697. This chapter does not preclude or reduce any rights...

CHAPTER 4 - Revocation and Penalties

ARTICLE 1 - Revocation and Suspension of License

Section 22700. - 22700. (a) Finance lender, broker, and program administrator licenses issued...

Section 22701. - 22701. (a) For the purpose of discovering violations of this...

Section 22702. - 22702. In making any examination or investigation, the commissioner may,...

Section 22703. - 22703. The officers, employees, partners, directors, and stockholders may inspect...

Section 22704. - 22704. The power of investigation and examination by the commissioner...

Section 22705. - 22705. Whenever the commissioner deems it necessary for the general...

Section 22705.1. - 22705.1. (a) For any licensee, a disciplinary action taken by...

Section 22706. - 22706. The commissioner may require the attendance of witnesses and...

Section 22707. - 22707. (a) The cost of each examination of a licensee...

Section 22707.5. - 22707.5. (a) If, upon inspection, examination, or investigation, the commissioner...

Section 22708. - 22708. After an examination, investigation, or hearing under this division,...

Section 22709. - 22709. The commissioner may require the production for examination in...

Section 22710. - 22710. The commissioner may upon three days’ notice and a...

Section 22711. - 22711. Any licensee may surrender any license by delivering to...

Section 22712. - 22712. (a) Whenever, in the opinion of the commissioner, any...

Section 22713. - 22713. (a) Whenever the commissioner believes from evidence satisfactory to...

Section 22714. - 22714. (a) The commissioner shall suspend or revoke any license,...

Section 22715. - 22715. (a) The commissioner may by order summarily suspend or...

Section 22716. - 22716. (a) The revocation, suspension, expiration, or surrender of any...

Section 22717. - 22717. Except in cases in which the time for setting...

Section 22718. - 22718. Every order, decision, license, or other official act of...

ARTICLE 2 - Consumer Loan Penalties

Section 22750. - 22750. (a) If any amount other than, or in excess...

Section 22751. - 22751. (a) If any amount other than or in excess...

Section 22752. - 22752. (a) If any provision of this division is violated...

Section 22753. - 22753. Except as provided in Section 22696, any person who...

Section 22754. - 22754. No provision imposing liability under this division, including the...

Section 22755. - 22755. It is a violation of this division for a...

Section 22756. - 22756. Notwithstanding any other law, any application for licensure, amendment...

Section 22757. - 22757. A finance lender, broker, or mortgage loan originator licensed...

Section 22758. - 22758. This article does not apply to a program administrator...

ARTICLE 3 - Commercial Loan Penalties

Section 22780. - 22780. Except as provided in Section 22696, any person who...

Section 22780.1. - 22780.1. A violation of Division 9.5 (commencing with Section 22800)...