1. (a) "Small loan" means a loan:

   1. (1) with a principal loan amount that is at least fifty dollars ($50) and not more than five hundred fifty dollars ($550); and

   2. (2) in which the lender holds the borrower's check for a specific period, or receives the borrower's written authorization to debit the borrower's account (other than as a result of default) under an agreement, either express or implied, for a specific period, before the lender:

      1. (A) offers the check for deposit or presentment; or
      2. (B) exercises the authorization to debit the borrower's account.

2. (b) The amount of five hundred fifty dollars ($550) in subsection (a)(1) is subject to change under the provisions on adjustment of dollar amounts set forth in IC 37-2-1-5 . However, notwithstanding IC 37-2-1-5 (a), the Reference Base Index to be used under this subsection is the Index for October 2006.

   [Pre-2026 Revision Citation: 24-4.5-7-104.]

As added by P.L.115-2026, SEC.97.