Payday Loan Act; SCC to contract with third party to develop Internet accessible database. (SB1014)

Introduced By

Sen. Dick Saslaw (D-Springfield) with support from co-patron Sen. Roscoe Reynolds (D-Martinsville)


Passed Committee
Passed House
Passed Senate
Signed by Governor
Became Law


Payday Loan Act. Requires the State Corporation Commission, by July 1, 2008, to certify and contract with one or more third parties to develop, implement, and maintain an Internet-accessible database, and requires payday lenders to query the database prior to making any loan to determine whether an applicant is eligible for the loan. Fifty cents may be charged to defray the costs of using the database. A payday lender is prohibited from making a payday loan to a person who has terminated a payday loan on the loan application date, or if the loan would cause the borrower to have more than three payday loans outstanding at the same time. Payday lenders are prohibited from knowingly making loans to a member of the military service or to the spouse of such person. If a borrower obtains three or more consecutive payday loans, the borrower may enter into an extended payment plan, which allows the borrower to repay the loan in at least two equal installments over 60 days. The installments may be secured by three checks written by the borrower. Other provisions (i) prohibit a lender from engaging in any unfair, misleading, deceptive, or fraudulent acts or practices in the making or collecting of a payday loan; (ii) require a lender, when collecting or attempting to collect a payday loan when the check given as security for such loan is dishonored, to comply with certain restrictions and prohibitions contained in the Fair Debt Collection Practices Act ; (iii) provide that any provision of a written loan agreement that violates the Payday Loan Act is unenforceable against the borrower; (iv) state that the provisions of the Payday Loan Act apply to Internet lenders; and (vi) allow licensees to secure payday loans with the borrower's electronic debit authorization. Read the Bill »


Bill Has Failed


01/09/2007Prefiled and ordered printed; offered 01/10/07 070205780
01/09/2007Referred to Committee on Commerce and Labor
01/24/2007Constitutional reading dispensed (40-Y 0-N)
01/25/2007Impact statement from SCC (SB1014)
01/25/2007Read second time
01/25/2007Passed by temporarily
01/25/2007Committee amendment agreed to
01/25/2007Amendment by Senator Locke rejected
01/25/2007Amendment by Senator Reynolds rejected
01/25/2007Reading of amendments waived
01/25/2007Amendments #'s 2,3,4 by Senator Edwards agreed to
01/25/2007Amendment #5 by Senator Edwards withdrawn
01/25/2007Reading of amendment waived
01/25/2007Amendment #6 by Senator Edwards rejected
01/25/2007Amendment #1 by Senator Edwards withdrawn
01/25/2007Engrossed by Senate as amended SB1014E
01/25/2007Printed as engrossed 070205780-E
01/26/2007Read third time and passed Senate (35-Y 2-N 1-A)
01/26/2007VOTE: (35-Y 2-N 1-A) (see vote tally)
01/26/2007Communicated to House
01/31/2007Impact statement from SCC (SB1014E)
02/06/2007Placed on Calendar
02/06/2007Read first time
02/06/2007Referred to Committee on Commerce and Labor
02/13/2007Reported from Commerce and Labor with substitute (15-Y 7-N) (see vote tally)
02/14/2007Committee substitute printed 070283816-H1
02/15/2007Read second time
02/16/2007Read third time
02/16/2007Committee substitute agreed to 070283816-H1
02/16/2007Engrossed by House - committee substitute SB1014H1
02/16/2007Pending question ordered
02/16/2007Passed House with substitute (72-Y 27-N)
02/20/2007Passed by for the day
02/21/2007House substitute agreed to by Senate (36-Y 3-N 1-A)
02/21/2007VOTE: (36-Y 3-N 1-A) (see vote tally)
02/22/2007Reconsideration of House substitute agreed to by Senate (39-Y 0-N 1-A)
02/22/2007VOTE: (39-Y 0-N 1-A) (see vote tally)
02/22/2007House substitute rejected by Senate (0-Y 39-N 1-A)
02/22/2007VOTE: (0-Y 39-N 1-A) (see vote tally)
02/22/2007House insisted on substitute
02/22/2007House requested conference committee
02/22/2007Senate acceded to request (30-Y 0-N)
02/22/2007VOTE: (30-Y 0-N) (see vote tally)
02/22/2007Conferees appointed by Senate
02/22/2007Senators: Saslaw, Watkins, Edwards
02/22/2007Conferees appointed by House
02/22/2007Delegates: Ware, R. L., Byron, Sickles
02/24/2007No further action taken
02/24/2007Failed to pass in Senate
03/02/2007Impact statement from SCC (SB1014H1)

Duplicate Bills

The following bills are identical to this one: HB2563.