Payday Lending Prohibition Act; penalties. (HB47)

Introduced By

Del. Paul Krizek (D-Alexandria) with support from 12 copatrons, whose average partisan position is:

Those copatrons are Del. Hala Ayala (D-Woodbridge), Del. Lee Carter (D-Manassas), Del. Karrie Delaney (D-Centreville), Del. Kelly Fowler (D-Virginia Beach), Del. Elizabeth Guzman (D-Dale City), Del. Patrick Hope (D-Arlington), Del. Joe Lindsey (D-Norfolk), Del. Alfonso Lopez (D-Arlington), Del. Sam Rasoul (D-Roanoke), Del. Debra Rodman (D-Henrico), Del. Marcus Simon (D-Falls Church), Del. Cheryl Turpin (D-Virginia Beach)

Description

Payday Lending Prohibition Act; penalties. Prohibits any person from engaging in any business that consists in whole or in part of making, offering, arranging, or acting as an agent in the making of loans on the security of (i) a check or other draft drawn on the account of an individual at a bank, savings institution, or credit union; (ii) any form of assignment of an interest in the account of an individual at a bank, savings institution, or credit union; or (iii) any form of assignment of income payable to an individual, other than loans based on income tax refunds. The prohibition does not apply to certain lenders subject to the general supervision of or subject to examination by the State Corporation Commission or to banks, savings institutions, or credit unions operating under the laws of the United States or any state. A violation is a Class 1 misdemeanor. Violators are also subject to civil penalties, cease and desist orders, and private actions. Violations are a prohibited practice under the Virginia Consumer Protection Act. Existing provisions providing for the licensing and regulation of payday lenders are repealed. Read the Bill »

Outcome

History