18055-18063

FINANCIAL CODE
SECTION 18055-18063




18055.  No person shall advertise, print, display, publish,
distribute, or broadcast, or cause or permit to be advertised,
printed, displayed, published, distributed, or broadcast, in any
manner in connection with the business of an industrial loan company
any statement or representation with regard to the rates, terms, or
conditions for making or negotiating loans, or with regard to
investment certificates, which is false, misleading, or deceptive.



18056.  An industrial loan company shall not use any advertising
which refers to the supervision of such company by the state or any
department or official thereof.



18057.  An industrial loan company shall not use any advertising nor
make any representations which indicate, imply or might lead a
person to believe that the company is a savings association.



18058.  An industrial loan company shall not use any advertising nor
make any representations which indicate, infer or might lead a
person to believe that investment certificates are insured unless
such is the fact.


18060.  (a) Except as provided in subdivision (b), industrial loan
company which issues thrift certificates shall not use any thrift
advertisement which refers to the industrial loan company's ownership
by, or affiliation with, any other entity unless the advertisement
also discloses in as prominent a manner and as large a type size as
the referenced ownership or affiliation was stated, whether or not
the owner or affiliate so named guarantees thrift certificates issued
by the industrial loan company.
   (b) (1) Subdivision (a) applies to an insured company when the
other entity guarantees the thrift certificates issued by the insured
company.
   (2) Subdivision (a) does not apply to an insured company when the
other entity does not guarantee the thrift certificates issued by the
insured company and the advertisement referring to the insured
company's ownership by, or affiliation with, the other entity does
not state or imply that the assets or reserves of the other entity
may be used to guarantee thrift certificates of the insured company.




18061.  If an industrial loan company refers in any advertisement to
rates of charge, discount, charges or costs of loans, those charges
shall be stated fully and clearly in a manner as may be necessary to
prevent misunderstanding thereof by prospective borrowers and to give
adequate information to prospective borrowers. If the rates or costs
advertised do not apply to loans of all classes, this fact shall be
clearly indicated in the advertisement.



18062.  An industrial loan company shall not use any advertisement
after its use has been disapproved by the commissioner and the
industrial loan company has been notified in writing of the
disapproval. Commencing July 1, 1990, the commissioner may require a
company to obtain written or oral approval of any advertisement for
investment or thrift certificates prior to publication thereof in
order to avoid false, misleading, or deceptive advertising.



18063.  The commissioner may require an industrial loan company to
maintain a file of all advertising copy for a period of 12 months
from the date of its use. The file shall be available to the
commissioner upon request.