A new piece of legislation was presented in the state of Maine relating to tax refund lenders. The new law, which is titled HB 944, asks tax refund anticipation lenders to register and acquire a $10,000 surety bond to secure the payment of damages, losses and penalties suffered from infringement of the law. The surety bond must remain in effect for five years following the lender ceasing operations in the State; these lenders supply loans that are protected through the expected income tax refund or tax credits that a individual will receive.
Eric is the Chief Marketing Officer of JW Surety Bonds. With years of experience in the surety industry, he is also a contributing author to the surety bond blog.