Consumer finance companies; rate of interest. (HB1359)

Introduced By

Del. Lee Ware (R-Powhatan)

Progress

Introduced
Passed Committee
Passed House
Passed Senate
Signed by Governor
Became Law

Description

Consumer finance companies; rate of interest. Adjusts the caps on the annual rate of interest that a consumer finance company may charge on loans. This measure allows a consumer finance company to charge interest at a rate not exceeding 78 percent annually on loans of not more than $1,500 and not exceeding 36 percent annually on loans of more than $1,500. Currently, a consumer finance company may charge interest at a rate not exceeding 36 percent annually on loans of not more than $2,500, and may charge interest at any rate agreed to in its contract with the borrower on loans of more than $2,500. Amends § 6.2-1520, of the Code of Virginia. Read the Bill »

Outcome

Bill Has Failed

History

  • 12/03/2012 Committee
  • 12/03/2012 Prefiled and ordered printed; offered 01/09/13 13101202D
  • 12/03/2012 Referred to Committee on Commerce and Labor
  • 01/06/2013 Impact statement from SCC (HB1359)
  • 01/22/2013 Tabled in Commerce and Labor

Comments

stephen writes:

It's not the Governments place to set rates on a private company. Just like it's not the Governments place to set campaign funding.

Va Housing Coalition, tracking this bill in Photosynthesis, notes:

This bill imposes some limits on interest rates that can be charged on certain consumer finance products. The VHC would like to see much stricter guidelines for these types of loans that often target low income households and military families.