Michigan Compiled Laws Act 161 Of 1988 Consumer Financial Services Act (487.2051 - 487.2072)

AN ACT to regulate the providing of certain consumer financial services; to provide for licensing of certain financial institutions; to prescribe powers and duties of certain state departments and agencies; to prohibit certain activities; and to provide for remedies and penalties.

History: 1988, Act 161, Eff. Sept. 1, 1988

Section 487.2051 Short Title.
This act shall be known and may be cited as the “consumer financial services act”. History: 1988, Act 161, Eff. Sept. 1, 1988 Compiler's...
Section 487.2052 Definitions.
As used in this act: (a) "Applicant" means a person that has applied to the commissioner to be licensed under this act. (b) "Bureau"...
Section 487.2053 License Required To Engage In Business Activity; Exceptions.
(1) A person shall not engage in a business activity unless the person is licensed under the appropriate financial licensing act, or by this...
Section 487.2054 License Application.
An application for a license under this act shall be made in writing and under oath to the commissioner in the form the commissioner...
Section 487.2055 License Fee; Investigation Fee; Financial Statements; Net Worth Requirements.
(1) An application for a license shall be accompanied by all of the following: (a) An annual operating fee as established by the commissioner...
Section 487.2056 Surety Bond Or Letter Of Credit.
(1) An applicant for a license shall furnish a surety bond or letter of credit to secure its obligations under this act to the...
Section 487.2057 Investigation Of License Applicant By Commissioner; Issuance And Delivery Of License; Expiration Of License; Renewal Of License; Fee; Penalty For Delinquent Payment.
(1) Upon the filing of an application and the payment of the required fees by an applicant, the commissioner shall investigate the applicant. If...
Section 487.2058 License Certificate; Availability Of Copy; Transferability; Changing Name Or Place Of Business; Operating One Place Of Business Under Same License; Additional Place Of Business; Ceasing Business Activities.
(1) Upon approval by the commissioner of an application for a license, the commissioner shall issue to the applicant a license certificate showing the...
Section 487.2059 Compliance; Exemption Of Licensee From Certain Provisions Of Financial Licensing Acts; Purchase Of Certain Contracts; Loans; Employment Of Individual As Loan Officer To Originate Mortgage Loans Or Secondary Mortgage Loan Officer To Originate Secondary Mortgage Loans; "Employ" Defined.
(1) Except as otherwise provided in subsection (2), a licensee under this act shall comply with all of the requirements of the financial licensing...
Section 487.2060 Suspension Or Revocation Of License; Notice; Hearing; Determination; Appeal; Grounds For Suspending, Revoking, Or Refusing To Renew License; Suspension Or Revocation Of Activities; Investigations, Examinations, And Hearings; Evidence; Failure To Comply With Subpoena; Cease And Desist Order.
(1) A license shall not be suspended or revoked except on not less than 10 days' notice to the licensee setting forth in writing...
Section 487.2060a Request For Reconsideration.
(1) If an applicant for a license is dissatisfied with the order issued under section 10 by the commissioner, the applicant may file with...
Section 487.2060b Hearing; Judicial Review.
(1) A hearing provided for in section 10 shall be conducted in accordance with the administrative procedures act of 1969, 1969 PA 306, MCL...
Section 487.2060c Enforcement Of Notice Or Order.
The commissioner may apply to the circuit court of Ingham county for the enforcement of any effective and outstanding notice or order issued under...
Section 487.2060d Summary Suspension; Order; Hearing; Record.
(1) After a complaint is filed or, as applicable, an investigation or administrative action against a licensee is commenced under section 10, the commissioner...
Section 487.2060e Summary Suspension Order, Cease And Desist Order, Or Injunctive Relief As Additional Legal Action.
A summary suspension order, cease and desist order, or injunctive relief issued or granted in relation to a license shall be in addition to...
Section 487.2060f Investigation Or Examination By Commissioner; Complaint Or Action; Suspension Of License; Request For Hearing; Duration Of Suspension.
(1) As provided in section 10(4), the commissioner may investigate or conduct an examination of any person and conduct hearings as the commissioner considers...
Section 487.2060g Fraud Or Money Laundering; Definitions.
(1) If in the opinion of the commissioner a person has engaged in fraud or money laundering, the commissioner may serve upon that person...
Section 487.2060h Hearing; Decision; Findings; Judicial Review; Stay.
(1) A hearing under section 10 or 10g shall be conducted under the administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to...
Section 487.2060i Enforcement Of Order; Jurisdiction.
The commissioner may apply to the circuit court of Ingham county for the enforcement of any outstanding order issued under section 10, 10f, or...
Section 487.2060j Violation As Misdemeanor; Penalty.
Any current or former executive officer, director, agent, or control person who violates a final order issued under section 10g is guilty of a...
Section 487.2060k Violation Of Order; Exceptions.
A control person who is subject to an order issued under section 10g(6) and who meets all of the following requirements is not in...
Section 487.2061 Annual Schedule Of Fees; Fees Nonrefundable; Action For Recovery Of Fees Or Penalties; Disposition Of Money Received.
(1) The commissioner shall annually establish a schedule of fees sufficient to pay in full the bureau's costs of administering this act. The fees...
Section 487.2062 Investigation Of Business Activities; Examination Of Books, Accounts, Records, And Files; Additional Reports; Audit And Management Letter.
(1) The commissioner at any time may investigate the business activities as the commissioner considers necessary, may examine the books, accounts, records, and files...
Section 487.2063 Repealed. 1999, Act 275, Imd. Eff. Jan. 5, 2000.
Compiler's Notes: The repealed section pertained to disposition and use of money received.
Section 487.2064 Records.
(1) A licensee under this act shall maintain records relating to all transactions under this act so that the commissioner may enforce compliance with...
Section 487.2065 Annual Report; Failure To File Report; Penalty.
(1) A licensee shall annually on or before a date established by the commissioner file with the commissioner a report, on a form provided...
Section 487.2066 Conservatorship Or Receivership.
Notwithstanding licensing under this act, if a licensee engaging in the issue or sale of checks that would otherwise be subject to the sale...
Section 487.2066a Licensee Engaged In Loan Servicing Activities; Appointment Of Conservator Or Receiver.
If the commissioner determines that a licensee engaging in loan servicing activities, intentionally or as a result of gross or wanton negligence, is not...
Section 487.2066b Powers And Duties Of Conservator Or Receiver.
(1) The conservator, under the direction of the commissioner, or the receiver, subject to the approval of the appointing court, shall take possession of...
Section 487.2067 Prohibited Activities Or Practices.
A licensee under this act shall not do any of the following: (a) Engage in the business of a real estate broker or real...
Section 487.2068 Rules.
The commissioner shall promulgate rules that are necessary for the enforcement of this act in accordance with the administrative procedures act of 1969, Act...
Section 487.2069 Obligation Of Contract Party Not Impaired Or Affected.
This act shall not be construed to impair or affect the obligation of any party to a contract entered into under a provision of...
Section 487.2070 Action By Person, County Prosecuting Attorney, Or Attorney General.
A person, county prosecuting attorney, or the attorney general may bring an action to: (a) Obtain a declaratory judgment that a method, act, or...
Section 487.2071 Effective Date.
This act shall take effect September 1, 1988. History: 1988, Act 161, Eff. Sept. 1, 1988 Compiler's Notes: For transfer of authority, powers, duties,...
Section 487.2072 Conditional Effective Date.
This act shall not take effect unless all of the following bills of the 84th Legislature are enacted into law: (a) House Bill No....

Last modified: October 10, 2016