Bill Text: NY A10440 | 2015-2016 | General Assembly | Introduced

New York Assembly Bill 10440 (Prior Session Legislation)

Introduced

Bill Title: Requires the superintendent of financial services to study and issue a report on online small business lending products and platforms that originate from lenders licensed by New York state or advertised to small businesses within the state.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Engrossed - Dead) 2016-06-14 - REFERRED TO RULES [A10440 Detail]

Download: New_York-2015-A10440-Introduced.html

                STATE OF NEW YORK
        ________________________________________________________________________
                                          10440
                   IN ASSEMBLY
                                      May 27, 2016
                                       ___________
        Introduced by M. of A. CANCEL -- read once and referred to the Committee
          on Banks
        AN  ACT  in  relation  to requiring a study and report on online lending
          products and platforms available  to  small  businesses  in  New  York
          state; and providing for the repeal of such provisions upon expiration
          thereof
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
     1    Section 1. 1. The superintendent of financial services shall study and
     2  issue a report on online small business lending products  and  platforms
     3  that  originate from lenders licensed by New York state or advertised to
     4  small businesses within New York state. Such study  shall  address,  but
     5  not be limited to the following issues:
     6    (a) whether online lenders are offering credit at reasonable and tran-
     7  sparent  interest rates and charging reasonable and transparent fees and
     8  payment terms;
     9    (b) whether lenders  offer  inclusive  and  non-discriminatory  credit
    10  access and observe fair lending practices;
    11    (c) what type of underwriting is conducted before issuing credit;
    12    (d)  whether lenders report loan repayment information to major credit
    13  bureaus and consult the borrower's credit data when underwriting a loan;
    14    (e) whether lenders are offering small businesses the opportunity  for
    15  further financial and business planning and the opportunity to establish
    16  a more traditional, long-term banking access to credit; and
    17    (f)  a  review  of  any other products or practices the superintendent
    18  deems relevant to small business access to capital.
    19    2. Such report shall be made to  the  governor,  the  speaker  of  the
    20  assembly and the temporary president of the senate no later than January
    21  1, 2018.
    22    3.  The  superintendent  of  financial  services  may  request, and is
    23  authorized to receive, any information from any state agencies  that  is
    24  relevant  and  material to the completion of this study and report. Such
    25  information shall be subject to the same requirements for confidentiali-
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD15525-01-6

        A. 10440                            2
     1  ty and limitations of use, if any, as are applicable to such state agen-
     2  cy's use of such information.
     3    §  2.  This  act shall take effect immediately and shall expire and be
     4  deemed repealed January 1, 2018.