Compliance Alerts
FOR IMMEDIATE RELEASE
For more information contact: Carleton Sales Team 574.243.6040 option #3 sales@carletoninc.com
Rate Adjustments for Consumer Loans in Mississippi & Tennessee
Mississippi
Mississippi Senate Bill 2495 was signed by the Governor on March 12, 2025. The Bill updates the Mississippi Credit Availability Act (MCAA). Key provisions in the bill include:
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Extended Repeal Date: The sunset provision of the MCAA has been extended from July 1, 2026, to July 1, 2030.
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Increase in Maximum Loan Amount: The maximum allowable outstanding principal balance for credit availability accounts has been raised from $2,500 to $3,250.
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Annual Adjustment Based on CPI-U: Beginning in 2025, the Mississippi Department of Banking and Consumer Finance is mandated to issue an annual memo adjusting the maximum loan amount, by applying the Consumer Price Index for All Urban Consumers (CPI-U) for the previous calendar year to the previous year's maximum, rounding up to the nearest $10 increment.
Effective July 1, 2025.
Tennessee
On March 25, 2025, Tennessee Governor Bill Lee signed Senate Bill 694 into law, modifying the state’s Industrial Loan and Thrift Companies Act (“the Act”) rate structure. The bill increases the maximum effective interest rate from 30% to 36% of the principal, for loans with an amount financed of $100 or more. In addition, as an alternative to loan charges and interest allowed under the Act for loans of $100 up to $2,000, the maximum permitted acquisition charge is increased from 10% to 12.5% of the principal.
Effective July 1, 2025.
If you are a Carleton partner and would like additional information or would like to request a file update, please submit a case in the Carleton Customer Portal.
About Carleton, Inc.:
Carleton is the country's leading provider of financial calculation software, loan origination compliance support, and document generation software. With over 55 years of experience, our ongoing expertise and industry knowledge reaffirms why Carleton is a trusted partner. Founded in conjunction with the Truth In Lending Act, Carleton provides expert compliance support with continuous accuracy in all our calculations and disclosures at a state and federal level. To learn more about Carleton’s lending solutions, contact our sales team at sales@carletoninc.com or 574-243-6040 option #3.