The bill would set a 36% maximum annual rate for consumer credit, counting interest and many fees and related charges. It includes limited exceptions for certain fees on credit paid in at least three installments over at least 90 days. States could keep stronger consumer protections. The bill also sets rules for calculating and disclosing the rate, and provides for consumer remedies, penalties, and enforcement by state attorneys general.
If enacted, the limit would apply to consumer credit. Charges covered by the bill could not push the rate above 36%. Some specified fees may be excluded when the bill’s conditions are met. Consumers could seek remedies for violations, including having payments returned, and could raise a violation as a defense to debt collection or repossession.
The bill does not specify public spending or implementation costs. No publicly available information.
The bill’s findings say a national limit is needed to address loopholes that allow high-cost lending. They also support alternatives such as small loans with low or no fees and affordable repayment periods.
No publicly available information.