Nebraska Combines Installment Loan and Sales Acts

Detected March 18th, 2026

Summary

The Nebraska Department of Banking and Finance has combined the Installment Loan Act and the Installment Sales Act into a single act, as outlined in LB 474. This change aims to reduce costs and streamline examinations by aligning net worth requirements and reporting for both license types, while maintaining existing consumer protection provisions.

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What changed

The Nebraska Department of Banking and Finance has issued an update combining the Nebraska Installment Loan Act and the Nebraska Installment Sales Act into a single, unified act, as enacted by LB 474. Key changes include aligning net worth requirements for both license types, allowing for single examinations covering both activities, and requiring annual reports on Nebraska activity volume from installment sales licensees. Importantly, all consumer protection provisions, interest rates, fees, and timelines remain unchanged, and licensees will continue to use the Nationwide Multistate Licensing System (NMLS) for licensing matters.

Regulated entities, specifically those operating under these acts, should review the applicable sections of LB 474 to understand any potential changes to departmental checklists, website references, and other documentation that may reflect the outdated names or citations. While the core consumer protections and licensing processes remain the same, licensees are encouraged to familiarize themselves with the consolidated act. The Department has provided contact information for inquiries regarding these updates.

What to do next

Review LB 474 for changes to Installment Loan and Installment Sales Acts
Update internal documentation and references to reflect the combined act

Source document (simplified)

Reducing costs and allowing for better resource allocation for the Department and our regulated industry by allowing the Department to conduct a single examination that covers an installment loan license and its branches, rather than requiring multiple, duplicative examinations of the same company for every location; • Ensuring that installment loan licensees are now subject to the same net worth requirements as installment sales licensees; and • Requiring that installment sales licensees must now provide annual reports to the Department regarding Nebraska activity volume, similar to what is required of installment loan licensees. As is stated above, there will continue to be two distinct license types: one for Installment Loan activity and one for Installment Sales activity. All provisions relating to consumer protection, interest rates, time-price differentials, insurance, fees, and timelines, will remain the same in this combined act, as they were in their original acts. All licensees under this newly combined act will still be required to utilize the Nationwide Multistate Licensing System (“NMLS”) for all licensing matters, including annual renewals, which will remain on the same annual timeline from November 1 to December 31. These changes were contained within LB 474 (2025). The text of LB 474 is available on the Nebraska Legislature’s website at: https://nebraskalegislature.gov/FloorDocs/109/PDF/Slip/LB474.pdf. As licensees under this newly combined act, you may see some changes in the near future regarding the Department’s NMLS checklists, the Department’s website, and other areas where the out-of-date names, links, citations, and references were located. The Department encourages all licensees to review the applicable sections of LB 474. If you have questions regarding this update or any changes that will result from this update, please contact the Department by phone at (402) 471-2171 or by email to: dob.consumerfinance@nebraska.gov. ###