# Financial Institutions (GFI)

## Title 11. Consumer Credit

### Subtitle 3. Installment Loans -- Licensing Provisions

#### Section 11-301

(a) In this subtitle the following words have the meanings indicated.

(b) "Installment loan" means a loan or extension of credit made for consideration under Sec. 12-103(a)(3) or (c) or Title 12, Subtitle 9, or Subtitle 10 of the Commercial Law Article.

(c) "License" means a license issued in any form by the Commissioner under this subtitle to make installment loans, including as provided for through NMLS.

(d) "Licensee" means a person licensed under this subtitle to make installment loans.

#### Section 11-302

(a) This subtitle does not apply to any loan or extension of credit:

  (1) Between relatives;

  (2) Between an employer and an employee;

  (3) Between a landlord and a tenant; or

  (4) Between a primary or secondary or nonprofit degree-granting postsecondary academic educational institution and a student or parents or guardian of that student, for tuition or other expenses of education at that institution.

(b) The licensing provisions of this subtitle do not apply to any of the following persons, if organized under the laws of this State or otherwise qualified to do business in this State:

  (1) A banking institution;

  (2) A national banking association;

  (3) A federal or State savings and loan association;

  (4) A federal or State credit union;

  (5) A licensee under Subtitle 2 of this title;

  (6) A seller of goods or services or both not engaged in:

    (i) Making loans; or

    (ii) Acting as a credit services business as defined under Title 14, Subtitle 19 of the Commercial Law Article;

  (7) A licensee under Subtitle 5 of this title engaged solely in a mortgage lending business as defined in that subtitle; or

  (8) An entity exempt from licensing as a mortgage lender under Sec. 11-502(b)(3), (10), or (13) of this title.

#### Section 11-303

Unless the person is licensed by the Commissioner, a person may not:

(1) Engage in the business of making installment loans;

(2) Make more than 5 installment loans a year; or

(3) Engage in the business of a credit services business as defined under Title 14, Subtitle 19 of the Commercial Law Article.

#### Section 11-304

A license under this subtitle shall be applied for and issued in accordance with, and is subject to, the licensing and investigatory provisions of Subtitle 2 of this title, the Maryland Consumer Loan Law - Licensing Provisions.

#### Section 11-305

Any person who violates any provision of this subtitle is guilty of a misdemeanor and on conviction is subject to a fine not exceeding $5,000 or imprisonment not exceeding 3 years or both.

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Md. Code Ann., Fin. Inst. (as displayed at mgaleg.maryland.gov, October 16, 2026)