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<br />ORDINANCE NO. 20372 <br /> <br />AN ORDINANCE CONCERNING REGULATION OF PAYDAY LOANS <br />AND ADDING SECTIONS 3.550 THROUGH 3.560 TO THE EUGENE <br />CODE, 1971; AND PROVIDING AN IMMEDIATE EFFECTIVE DATE. <br /> <br />The City of Eugene does ordain as follows: <br /> <br />Section 1. Section 3.005 of the Eugene Code, 1971, is amended by adding a <br /> <br />section of definitions for "Payday Loans" in alphabetical order, to provide: <br /> <br />Payday Loans: <br /> <br />Borrower. A natural person who receives a payday loan. <br /> <br />Cancel. To annul the payday loan agreement and, with respect to the payday loan <br />agreement returning the borrower and the payday lender to their financial <br />condition prior to the origination date of the payday loan. <br /> <br />City manager. The city manager or the manager's designee. <br /> <br />Payday lender. A "lender" in the business of making payday loans as defined in <br />ORS 725.600. <br /> <br />Payday loan. A payday loan as defined by state law. <br /> <br />Principal. The original loan proceeds advanced for the benefit of the borrower in <br />a payday loan excluding any fee or interest charge. <br /> <br />Section 2. Sections 3.550 through 3.560 are added to the Eugene Code, 1971, to provide: <br /> <br />Payday Loans <br /> <br />3.550 Payday Loans - Purpose. The provisions of sections 3.550 to 3.560 of this code are <br />intended to minimize the detrimental effects that certain payday lending practices <br />have on individuals and families, by regulating payday lenders to require payment of <br />a portion of the original loan amount prior to the renewal of a payday loan, to allow <br />borrowers the ability to cancel a payday loan, and to allow borrowers the ability to <br />convert a payday loan into a payment plan. Except as specifically provided to the <br /> <br />Ordinance - 1 <br />