Motor vehicle title loans; establishes requirements, penalties. (SB606)

Introduced By

Sen. Dick Saslaw (D-Springfield) with support from co-patron Del. Kaye Kory (D-Falls Church)

Progress

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

Description

Motor vehicle title loans; penalties. Establishes requirements for motor vehicle title loans, which are nonpurchase money revolving loans secured by an interest in a motor vehicle. Under this measure, if the loan balance is not paid in full within a 25-day grace period (in which case interest does not accrue), interest shall not exceed 22 percent per month on the portion of the outstanding balance of the loan that does not exceed $700; 18 percent per month on the portion between $700 and $1,400; and 15 percent per month on the portion that exceeds $1,400. There is no cap on the size of such loans. Money advanced under the loan agreement is required to be repaid in monthly payments over the 12 months following an advance. Interest does not accrue on a loan after the motor vehicle securing the loan has been repossessed or after 60 days following the failure to make a payment. Lenders are barred from seeking a deficiency judgment against a borrower following repossession or sale of the motor vehicle. Motor vehicle equity lenders are required to be licensed by the State Corporation Commission. A violation of the measure is a prohibited practice under the Consumer Protection Act. Violations are subject to civil and criminal penalties. Read the Bill »

Outcome

Bill Has Passed

History

DateAction
01/14/2010Presented and ordered printed 10103115D
01/14/2010Referred to Committee on Commerce and Labor
01/20/2010Impact statement from VCSC (SB606)
01/20/2010Impact statement from SCC (SB606)
02/15/2010Reported from Commerce and Labor with substitute (15-Y 0-N) (see vote tally)
02/15/2010Committee substitute printed 10105403D-S1
02/16/2010Constitutional reading dispensed (38-Y 0-N) (see vote tally)
02/16/2010Read second time
02/16/2010Reading of substitute waived
02/16/2010Committee substitute agreed to 10105403D-S1
02/16/2010Engrossed by Senate - committee substitute SB606S1
02/16/2010Constitutional reading dispensed (40-Y 0-N) (see vote tally)
02/16/2010Passed Senate (40-Y 0-N) (see vote tally)
02/18/2010Placed on Calendar
02/18/2010Read first time
02/18/2010Referred to Committee on Commerce and Labor
02/19/2010Impact statement from SCC (SB606S1)
03/04/2010Reported from Commerce and Labor with substitute (21-Y 1-N) (see vote tally)
03/04/2010Committee substitute printed 10105580D-H1
03/05/2010Read second time
03/08/2010Read third time
03/08/2010Committee substitute agreed to 10105580D-H1
03/08/2010Amendments by Delegate Morrissey rejected
03/08/2010Amendment by Delegate Nutter agreed to
03/08/2010Engrossed by House - committee substitute with amendment SB606H1
03/08/2010Passed House with substitute with amendment (96-Y 2-N)
03/08/2010VOTE: --- PASSAGE (96-Y 2-N) (see vote tally)
03/10/2010Passed by for the day
03/11/2010House substitute with amendment agreed to by Senate (37-Y 2-N 1-A) (see vote tally)
03/11/2010Reconsideration of House substitute with amendment agreed to by Senate (39-Y 1-N) (see vote tally)
03/11/2010House substitute with amendment agreed to by Senate (36-Y 4-N) (see vote tally)
03/11/2010Title replaced 10105580D-H1
03/11/2010Impact statement from SCC (SB606H1)
03/22/2010Enrolled
03/22/2010Bill text as passed Senate and House (SB606ER)
03/22/2010Signed by Speaker
03/24/2010Impact statement from SCC (SB606ER)
03/25/2010Signed by President
04/11/2010G Approved by Governor-Chapter 477 (effective - see bill)
04/11/2010G Acts of Assembly Chapter text (CHAP0477)

Video

This bill was discussed on the floor of the General Assembly. Below is all of the video that we have of that discussion, 7 clips in all, totaling 15 minutes.