VA HB1760 | 2019 | Regular Session

Status

Spectrum: Partisan Bill (Democrat 2-0)
Status: Introduced on December 21 2018 - 25% progression
Action: 2019-02-05 - Left in Commerce and Labor
Pending: House Commerce and Labor Committee
Text: Latest bill text (Prefiled) [HTML]

Summary

Qualified education loan servicers. Prohibits any Qualified education loan servicers. Prohibits any person from acting as a qualified education loan servicer except in accordance with provisions established by this bill. The bill requires a loan servicer to obtain a license from the State Corporation Commission (SCC) and establishes procedures pertaining to such licenses. Banks, savings institutions, credit unions, and nonprofit institutions of higher education are exempt from the licensing provisions. The servicing of a qualified education loan encompasses (i) receiving any scheduled periodic payments from a qualified education loan borrower pursuant to the terms of a qualified education loan; (ii) applying the payments of principal and interest and such other payments, with respect to the amounts received from a qualified education loan borrower, as may be required pursuant to the terms of a qualified education loan; and (iii) performing other administrative services with respect to a qualified education loan. Qualified education loan servicers are prohibited from, among other things, (a) misrepresenting the amount, nature, or terms of any fee or payment due or claimed to be due on a qualified education loan, the terms and conditions of the loan agreement, or the borrower's obligations under the loan; (b) knowingly misapplying or recklessly applying loan payments to the outstanding balance of a qualified education loan; and (c) failing to report both the favorable and unfavorable payment history of the borrower to a nationally recognized consumer credit bureau at least annually if the loan servicer regularly reports information to such a credit bureau. Violations are subject to a civil penalty not exceeding $2,500. The bill has a delayed effective date of October 1, 2020, but provides that applications shall be accepted, and investigations commenced,

Tracking Information

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Title

Student loans; licensing of qualified education loan servicers, civil penalties, report.

Sponsors


Roll Calls

2019-01-24 - House - House: Subcommittee recommends laying on the table (6-Y 4-N) (Y: 6 N: 4 NV: 1 Abs: 0) [PASS]

History

DateChamberAction
2019-02-05HouseLeft in Commerce and Labor
2019-01-24HouseSubcommittee recommends laying on the table (6-Y 4-N)
2019-01-10HouseAssigned C & L sub: Subcommittee #3
2018-12-21HouseReferred to Committee on Commerce and Labor
2018-12-21HousePrefiled and ordered printed; offered 01/09/19 19100821D

Code Citations

ChapterArticleSectionCitation TypeStatute Text
192389(n/a)See Bill Text
622600(n/a)See Bill Text
622617(n/a)See Bill Text

Virginia State Sources


Bill Comments

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