Financial institutions: small loan companies; licensed providers of deferred presentment service transactions to make certain small loans; allow. Amends title & secs. 2, 11, 13, 15, 17, 19, 22, 31, 32, 33, 34, 35, 36, 45, 48 & 53 of 2005 PA 244 (MCL 487.2122 et seq.) & adds secs. 24, 25, 31a & 32a.

This bill amends Michigan's Deferred Presentment Service Transactions Act to allow licensed check cashing businesses to also make small loans to customers who already use their services. The legislation requires these providers to obtain a license and establishes new rules for loan amounts, fees, and customer protections, including requirements to assess debt-to-income ratios and define basic living expenses. It also creates a new fund to support financial literacy education for customers and adds specific definitions and operational procedures to the existing regulatory framework. The changes directly affect small loan companies and check cashing businesses operating in Michigan, as well as the customers who receive these financial services.