Late fee dollar amounts indexed in the Minnesota Regulated Loan Act, Chapter 56 and Section 47.59(3)(i) of the Minnesota Consumer Credit Code are subject to periodic adjustment on July 1 of even-numbered years, based on a percentage change in the Implicit Price Deflator for the Gross Domestic Product compiled by the U.S. Department of Commerce. The dollar amounts will be adjusted if the percentage of change from the referenced base is ten percent or more.
The Minnesota Department of Commerce has published the newly adjusted dollar amounts that are effective on July 1, 2024. The minimum dollar amount lenders may charge for late fees in Minnesota will increase from $9.36 to $9.88, for all subordinate-lien loans and for first-lien loans below $100,000.
DocMagic will update its system on July 1, 2024, to reflect the increased late fee dollar amount for applicable loans with a property state of Minnesota.
If you have any questions, please contact DocMagic’s Compliance Department.
