I am an out of state consumer lender. Do I need a license?
Consumer lenders with physical locations in Louisiana qualify for licensure. Others do not.
I am a lender to businesses and other commercial ventures. Do I need a license?
No. Credit transactions involving extensions of credit for business, commercial or agricultural purposes are excluded from the Louisiana Consumer Credit Law and licensure is not required.
If I have several locations in Louisiana, do I need a license for each location?
Yes. A separate license fee is required for each location. However, an abbreviated application is available for corporations and limited liability companies opening additional locations under the same organization juridical entity.
How much does a license cost?
The licensing fee is $550 initially and renews annually for $450. Renewal is based upon the calendar year and is due each January 1. All fees are to be paid by check or money order payable to the Office of Financial Institutions.
How long does the licensing process take?
If all information and documentation are submitted correctly at the initial receipt of the application, then normal licensure time is approximately 4-6 weeks.
Do I need a bond or is there a minimum net worth requirement?
No. However, we have a $25,000 start-up cash requirement. We require a letter from your financial institution stating that the applicant has $25,000 unencumbered cash on deposit.
Do I have to maintain the $25,000 cash balance at all times?
No. After licensure you may utilize the funds to make loan, pay expenses, etc.
May an applicant operate while waiting for licensure?
No. Applicants may NOT begin the business activities of making consumer loans until a license is issued.