(1) For all refund anticipation loans, a facilitator must provide clear disclosure to the borrower prior to the borrower's completion of the application. The disclosure must contain the following:

     (a) The refund anticipation loan fee schedule; and

     (b) A written statement, in a minimum of ten-point type, containing the following elements:

     (i) That a refund anticipation loan is a loan, and is not the borrower's actual income tax refund;

     (ii) That the taxpayer can file an income tax return electronically without applying for a refund anticipation loan;

     (iii) The average times according to the internal revenue service within which a taxpayer who does not obtain a refund anticipation loan can expect to receive a refund if the taxpayer's return is (A) filed electronically and the refund is directly deposited to the taxpayer's bank account or mailed to the taxpayer, and (B) mailed to the internal revenue service and the refund is directly deposited to the taxpayer's bank account or mailed to the taxpayer;

     (iv) That the internal revenue service does not guarantee that it will pay the full amount of the anticipated refund and it does not guarantee a specific date that a refund will be deposited into a taxpayer's financial institution account or mailed to a taxpayer;

     (v) That the borrower is responsible for repayment of the loan and related fees in the event that the tax refund is not paid or paid in full;

     (vi) The estimated time within which the loan proceeds will be paid to the borrower if the loan is approved;

     (vii) The fee that will be charged, if any, if the borrower's loan is not approved; and

     (viii) The borrower's right to rescind the refund anticipation loan transaction as provided in RCW 19.265.040.

     (2) The following additional information must be provided to the borrower of a refund anticipation loan before consummation of the loan transaction:

     (a) The estimated total fees for obtaining the refund anticipation loan; and

     (b) The estimated annual percentage rate for the borrower's refund anticipation loan, using the guidelines established under the federal truth in lending act (15 U.S.C. Sec. 1601 et seq.).

[2005 c 471 § 4.]