2025 Year in Review & Upcoming Changes in 2026

 

 

State Updates (2025)

 

ARKANSAS

• HB 1845 authorizes the Office of Motor Vehicle to establish an electronic lien, title, and registration system. Effective upon certification by the Office.

 

DELAWARE

• HB 164 institutes an additional registration fee on owners of alternative fuel-type motor vehicles. Effective October 1, 2025.

 

GEORGIA

• SB 81 provides new protections for consumer data linked to motor vehicle sales or leases. Effective July 1, 2025.

 

HAWAII

• SB 1367 reorganizes and clarifies a number of provisions of Hawaii’s installment loans law. Effective July 1, 2025.

 

ILLINOIS

• As published in Company Bulletin 2025-14 by the Illinois Department of Insurance, the updated prima facie credit insurance rates became effective August 21, 2025.

 

INDIANA

• As published in Bulletin 277 in December 2024, the Indiana Insurance Commissioner adjusted credit insurance rates effective January 1, 2025.

• The Auto Dealer Services Division of the Indiana Secretary of State announced an adjusted maximum Documentation Preparation Fee of $251.05. Effective July 1, 2025.

 

IOWA

• ARC 8727C is a regulation promulgated by the Revenue Department of Iowa clarifying the one-time fee due for a new registration of a motor vehicle. Effective April 23, 2025.

 

KENTUCKY

• SB 136 requires the Kentucky Transportation Cabinet to transition to solely store motor vehicle titles electronically. Effective, in part July 1, 2025.

• SB 145 allows the holder of a motor vehicle retail installment contract to collect a delinquency charge in certain circumstances. Effective June 26, 2025.

 

LOUISIANA

• HB 476 establishes an annual adjustment to the credit investigative fee for motor vehicle purchases. Effective August 1, 2025.

• HB 582 requires the Office of Financial Institutions to annually calculate a new outstanding principal balance allowed for deferred presentment transactions and small loans. Effective August 1, 2025.

 

MAINE

• The Department of Administrative and Financial Services issued regulations governing the collection and remittance of sales and use taxes on vehicle leases. Effective January 1, 2025.

• LD 68 amends the tax laws by modifying the watercraft sales tax exemption to not apply to the lease or rental of a watercraft to a nonresident. Effective June 19, 2025.

 

MARYLAND

• The Department of Transportation amended and adopted new regulations requiring owners of a plug-in electric vehicle to pay an annual surcharge. Effective May 26, 2025.

• HB 352 adjusts many of the registration and title fees for vehicles and increases the Motor Vehicle Excise Tax rate for rental and non-rental vehicles. Effective July 1, 2025.

• HB 1464 creates an alternative registration process for rental fleet vehicles. Effective October 1, 2025.

 

MICHIGAN

• Michigan updated their Documentary Preparation Fee through 2026. The fee cannot exceed the lesser of $280 or 5% of the cash price of the vehicle. Effective January 28, 2025.

 

MINNESOTA

• HF 14 is the major Transportation Appropriations bill and modifies the surcharge for electric vehicles and plug-in hybrid vehicles. Effective in part on June 14, 2025.

 

MISSISSIPPI

• SB 2495 updates the Credit Availability Act to raise the maximum allowable outstanding principal balance for credit accounts from $2,500 to $3,250. Effective July 1, 2025.

 

MISSOURI

• Missouri increased their Administrative Fee for 2025 to $604.47. Effective February 1, 2025.

 

MONTANA

• HB 99 consolidates the definitions of several different boating vessels and clarifies the temporary registration periods for certain vehicles. Effective October 1, 2025.

• HB 165 removes the need for a notarized affidavit to transfer a vehicle title in Montana. Effective October 1, 2025.

 

NEBRASKA

• Published in Guidance Document IGD – A2, the Department of Insurance adjusted credit life rates effective from April 1, 2025 through 2027. Effective April 1, 2025.

• LB 97 raises the cost of license plates. Effective April 14, 2025.

• LB 474 combines the Installment Sales Act and the Installment Loan Act and does not change core substantive provisions to either. Effective September 2, 2025.

 

NEVADA

• AB 296 allows for the adoption of digital license plates and allows lenders to offer installment loans to pay for motor vehicle registration fees and taxes. Effective June 11, 2025.

• SB 194 requires short-term lessors to ensure a minimum level of insurance is in place before leasing a vehicle. Effective October 1, 2025.

• SB 437 allows an internet consumer lender without a physical address within Nevada to apply for a Nevada lending license. Effective October 1, 2025.

 

NEW HAMPSHIRE

• SB 156 allows the Division of Motor Vehicles to work with a third-party vendor to facilitate the electronic transfer of title applications and information. Effective September 13, 2025.

 

NEW JERSEY

• SB 3525 allows mortgagors to make biweekly and semi-monthly payments, as well as payments to pay-down a mortgage principal. Effective November 9, 2025.

 

NEW MEXICO

• As published in Bulletin 2025-002 in May 2025, the New Mexico Insurance Commissioner adjusted the prima facie credit insurance rates effective July 1, 2025.

 

NEW YORK

• AB 920 adds medical and health insurance information to the definition of personal identifying information for certain statutory categories. Effective February 14, 2025.

• SB 804 amends the law as to when and how data breach notifications must be provided to the Department of Financial Services. Effective February 14, 2025.

• SB 8408 expands the Department of Financial Services’ authority to impose civil penalties on any person or company engaging in regulated financial activities without proper licensing. Effective December 5, 2025.

 

NORTH DAKOTA

• HB 1127 creates new data security requirements for non-depository financial corporations and clarifies the definition of a “loan”. Effective August 1, 2025.

 

OKLAHOMA

• The Department of Consumer Credit published adjustments to allowable charges for retail installment contracts and small loans. Effective July 1, 2025.

• SB 377 regulates business activities between equipment suppliers and their dealers. Effective November 1, 2025.

 

OREGON

• HB 3875 applies the Oregon Consumer Privacy Act to motor vehicle manufacturers and affiliates. Effective September 26, 2025.

 

PENNSYLVANIA

• The maximum Documentary Preparation Charge for 2025 increased to either $398 or $477, with the larger amount applying to dealers that file electronically. Effective January 1, 2025.

 

SOUTH DAKOTA

• SB 131 creates a new electronic title and lien system to be administered by the South Dakota Department of Revenue. Effective July 1, 2025.

• SB 135 allows owners of various types of vehicles who do not have a state issued driver’s license to pay a $100 fee to title the vehicle in South Dakota. Effective July 1, 2025.

• SB 179 allows a licensed vehicle dealer to sell or offer to sell an off-road vehicle at an event located outside of their home county. Effective July 1, 2025.

 

TENNESSEE

• SB 694 modifies the state’s Industrial Loan and Thrift Companies Act rate structure, maximum effective interest rate, and alternatives to loan charges. Effective July 1, 2025.

 

TEXAS

• The Texas OCCC published dollar brackets and ceilings subject to adjustment for Retail Installment Sales and Consumer Loans. Effective July 1, 2025.

• HB 700 establishes new requirements related to commercial sales-based financing, including specific disclosures that must accompany an offer. Effective September 1, 2025.

 

UTAH

• HB 272 increases the maximum Gross Vehicle Weight Rating from 12,000 lbs. to 14,000 lbs., for the purposes of registering a vehicle in the state. Effective July 1, 2025.

• SB 27 allows a fleet of personal vehicles to be registered as a fleet and clarifies which registration fees apply to certain vehicles. Effective in part on May 7, 2025.

 

VIRGINIA

• HB 2659 allows dealers to use separate buyer’s orders forms for leases and sales of motor vehicles. Effective July 1, 2025.

 

WASHINGTON

• HB 1006 modifies financial responsibility provisions for motor vehicle protection product guarantee providers and service contract providers. Effective July 27, 2025.

• SB 5801 increases fees for titling and registering a vehicle, title filing, and other items. It also creates a new luxury vehicle tax on vehicles exceeding $100,000. Effective July 1, 2025.

 

WEST VIRGINIA

• HB 3089 mandates financial institutions, vehicle dealers, or anyone recording five or more liens within a year to use the state’s electronic lien and title system. Effective July 1, 2025.

 

WISCONSIN

• SB 45 is the executive budget act of the 2025 Wisconsin legislature. The bill increases the title fees for motor vehicles in the state. Effective October 1, 2025.

 

WYOMING

• HB 242 would require vehicle dealers who sell trailers to submit a sales authorization agreement to the state, amongst other provisions. Effective July 1, 2025.

• SF 39 provides for the automatic transfer of a vehicle title upon the death of the owner to a named beneficiary. Effective July 1, 2025.

 

 

State Updates (2026 & Beyond)

 

ARIZONA

• The State of Arizona’s Department of Insurance and Financial Institutions published new prima facia credit life insurance and credit disability rates. Effective February 1, 2026.

 

CALIFORNIA

• AB 483 places new requirements on fixed term installment contracts. Effective August 1, 2026.

• SB 362 amends California’s Commercial Financing Law and prohibits lenders of these financing products to use the terms “rate” or “interest” in a deceptive way. Effective January 1, 2026.

• SB 446 amends provisions of California’s data breach notification laws. Effective January 1, 2026.

• SB 766—The CARS Act—purports to create more transparency during the vehicle purchasing process and establishes new consumer protections. Effective October 1, 2026.

• SB 825 allows the Department of Financial Protection and Innovation to bring deceptive or abusive acts or practices enforcement actions under the Consumer Financial Protection Law. Effective January 1, 2026.

 

ILLINOIS

• The document preparation fee in the State of Illinois increased from $367.70 to $377.63 in 2026. Effective January 1, 2026.

 

KANSAS

• HB 2122 increases the annual license fees for electric vehicles and plug-in electric hybrids. Effective January 1, 2026.

 

LOUISIANA

• The Louisiana credit investigation fee increased from $425 to $436 effective on January 1, 2026.

 

MAINE

• LD 850 amends current motor vehicle laws and certain title and registration fees in Maine for 2026. Effective January 1, 2026.

 

MISSISSIPPI

• The Mississippi State Tax Commission finalized regulations (35.VI.1.05) to establish a new exemption for certain ATVs from ad valorem tax. Effective January 1, 2026.

 

MISSOURI

• Effective February 1, 2026, the Administrative Fee maximum amount is $620.79.

 

MONTANA

• HB 114 amends the law around the sale of insurance for those seeking a loan or credit. Effective January 1, 2026.

 

NEW JERSEY

• SB 3309 creates the “Motor Vehicle Open Recall Notice and Fair Compensation Act”. Effective January 1, 2026.

 

OHIO

• Per Ohio Rev. Code § 4517.261, the Documentary Service Charge is to be annually adjusted and for 2026, a dealer can charge $398. Effective January 1, 2026.

• The Ohio Department of Insurance revised prima facie credit insurance rates for credit life and credit disability. Effective January 1, 2026.

 

OREGON

• HB 3178 requires dealers to provide a consumer with a disclosure document that includes a right to void a vehicle transaction within ten calendar days. Effective January 1, 2026.

• SB 430 requires that any person who offers or sells goods or services online to display the total cost in any advertisement, display, or offer. Effective January 1, 2026.

 

PENNSYLVANIA

• The Pennsylvania Documentary Fee for 2026 is either $409 or $490, with the larger amount applying to dealers that file documents electronically. Effective January 1, 2026.

 

RHODE ISLAND

• SB 229 and companion bill, HB 5042, repeal the provisions in the law allowing deferred deposit lenders and transactions. Effective January 1, 2027.

 

SOUTH CAROLINA

• The South Carolina Department of Insurance adopted new Prima Facie Credit A&H and Credit Property insurance rates for 2026. Effective January 1, 2026.

 

UTAH

• HB 514 allows two-year registrations for trailers, off-highway vehicles, street-legal all-terrain vehicles, and electric motor vehicles. Effective January 1, 2026.

 

WYOMING

• Senate File 25 tasks the Department of Transportation with creating and maintaining an electronic lien and title system for the state of Wyoming. Effective July 1, 2027.

 

 

Federal Updates (2025)

 

CONSUMER FINANCIAL PROTECTION BUREAU

• The CFPB increased TILA threshold adjustments for Regulation M and Z from $69,500 to $71,900. Effective January 1, 2025.

• Dollar threshold adjustments were announced for the Ability to Repay/ Qualified Mortgage Rule and HOEPA. Effective January 1, 2025.

 

 

Federal Updates (2026)

 

CONSUMER FINANCIAL PROTECTION BUREAU

• The CFPB increased TILA threshold adjustments for Regulation M and Z from $71,900 to $73,400. Effective January 1, 2026.

• Dollar threshold adjustments were announced for the Ability to Repay/ Qualified Mortgage Rule and HOEPA. Effective January 1, 2026.

 

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