Nebraska Department of Banking and Finance

Consumer Lending Regulation

Consumer lending encompasses lenders not operating through a bank, savings bank or credit union (considered traditional lenders). Consumer lenders are considered non-traditional.

Nebraska has three different types of businesses that operate under the consumer lending division. These businesses are: installment loan companies, sales finance companies and loan brokers. Consumer lending does not include home mortgages (but can include home equity loans). The mortgage lending section of our web site addresses mortgage activities and regulation.

Installment loan companies regulated by our agency must be physically located in Nebraska. They specialize in personal and consumer loans, usually of a smaller amount and can include home equity lines of credit.

Sales finance companies purchase and service retail installment contracts. These contracts are usually in larger amounts and are involved in the purchase of material items, such as vehicles. Dealerships, and other businesses, typically sell these retail payment agreements to a third party - a sales finance company - who then becomes the responsible party for accepting and processing payments until the loan is paid in full.

A loan broker is a person or company that arranges for or helps to obtain a loan. These types of loans are commercial, consumer or personal loans. Loan brokers are not allowed to arrange or help obtain a loan secured by residential property in Nebraska without a mortgage banker license.