VA HB789 | 2020 | Regular Session


Completed Legislative Action
Spectrum: Partisan Bill (Democrat 43-0)
Status: Passed on April 22 2020 - 100% progression
Action: 2020-04-22 - Governor: Acts of Assembly Chapter text (CHAP1215)
Text: Latest bill text (Chaptered) [HTML]


Consumer lending. Replaces references to payday loans with the term "short-term loans." The measure caps the interest and fees that may be charged under a short-term loan at an annual rate of 36 percent, plus a maintenance fee; increases the maximum amount of such loans from $500 to $2,500; and sets the duration of such loans at a minimum of four months, subject to exceptions, and a maximum of 24 months. Short-term loan licensees are required to make a reasonable attempt to verify a borrower's income and may not collect fees and charges that exceed 50 percent of the original loan amount if such amount is equal to or less than $1,500 and 60 percent of the original loan amount if such amount is greater than $1,500. The measure amends the requirements for motor vehicle title loans, including requiring licensed lenders to use a database to determine a prospective borrower's eligibility for a loan and prohibiting loans to a borrower who has an outstanding short-term loan. The measure sets a 36-percent annual interest rate cap on open-end credit plans and allows a $50 annual participation fee. A violation of these provisions is made a prohibited practice under the Virginia Consumer Protection Act. The measure amends provisions of the Consumer Finance Act to, among other things, allow licensed lenders to use the services of access partners and establish requirements that loans be between $300 and $35,000; be repayable in substantially equal installment payments; have a term of no fewer than six and no more than 120 months; charge not more than 36 percent annual interest and a loan processing fee; and require licensees to post a bond. The measure prohibits credit service businesses from advertising, offering, or performing other services in connection with an extension of credit that has an annual interest rate exceeding 36 percent, is for less than $5,000, has a term of less than one year, or is provided under an open-end credit plan. The bill has a delayed effective date of January 1, 2021, and requires any person who would be required to be licensed under the provisions of the act to apply for a license by October 1, 2020.

Tracking Information

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Consumer lending; replaces references to payday loans with term "short-term loans."


Roll Calls

2020-04-22 - House - House: VOTE: (54-Y 41-N) (Y: 54 N: 41 NV: 5 Abs: 0) [PASS]
2020-04-22 - Senate - Senate: Senate concurred in Governor's recommendation (22-Y 18-N) (Y: 22 N: 18 NV: 0 Abs: 0) [PASS]
2020-02-26 - House - House: VOTE: Adoption (62-Y 30-N) (Y: 62 N: 30 NV: 8 Abs: 0) [PASS]
2020-02-26 - Senate - Senate: Passed Senate with substitute (28-Y 12-N) (Y: 28 N: 12 NV: 0 Abs: 0) [PASS]
2020-02-26 - Senate - Senate: Constitutional reading dispensed (38-Y 0-N) (Y: 38 N: 0 NV: 2 Abs: 0) [PASS]
2020-02-25 - Senate - Senate: Reported from Finance and Appropriations (14-Y 0-N) (Y: 14 N: 0 NV: 0 Abs: 0) [PASS]
2020-02-17 - Senate - Senate: Reported from Commerce and Labor with substitute (11-Y 4-N) (Y: 11 N: 4 NV: 0 Abs: 0) [PASS]
2020-01-31 - House - House: VOTE: Passage (65-Y 33-N) (Y: 65 N: 33 NV: 2 Abs: 0) [PASS]
2020-01-23 - House - House: Reported from Labor and Commerce with substitute (14-Y 8-N) (Y: 14 N: 8 NV: 0 Abs: 0) [PASS]


2020-04-22 Governor: Acts of Assembly Chapter text (CHAP1215)
2020-04-22HouseEnacted, Chapter 1215 (effective - see bill)
2020-04-22SenateSigned by President as reenrolled
2020-04-22HouseSigned by Speaker as reenrolled
2020-04-22HouseReenrolled bill text (HB789ER2)
2020-04-22 Governor: Governor's recommendation adopted
2020-04-22SenateSenate concurred in Governor's recommendation (22-Y 18-N)
2020-04-22HouseVOTE: (54-Y 41-N)
2020-04-22HouseHouse concurred in Governor's recommendation (54-Y 41-N)
2020-04-22HousePlaced on Calendar
2020-04-11HouseGovernor's recommendation received by House
2020-03-17 Governor: Governor's Action Deadline 11:59 p.m., April 11, 2020
2020-03-17HouseEnrolled Bill communicated to Governor on March 17, 2020
2020-03-12SenateSigned by President
2020-03-12HouseSigned by Speaker
2020-03-12HouseBill text as passed House and Senate (HB789ER)
2020-02-26HouseSenate substitute agreed to by House 20108486D-S1 (62-Y 30-N)
2020-02-26SenatePassed Senate with substitute (28-Y 12-N)
2020-02-26SenateEngrossed by Senate - committee substitute HB789S1
2020-02-26SenateCommittee substitute agreed to 20108486D-S1
2020-02-26SenateReading of substitute waived
2020-02-26SenateRead third time
2020-02-26SenateConstitutional reading dispensed (38-Y 0-N)
2020-02-26HouseVOTE: Adoption (62-Y 30-N)
2020-02-25SenateReported from Finance and Appropriations (14-Y 0-N)
2020-02-17SenateRereferred to Finance and Appropriations
2020-02-17SenateCommittee substitute printed 20108486D-S1
2020-02-17SenateReported from Commerce and Labor with substitute (11-Y 4-N)
2020-02-03SenateReferred to Committee on Commerce and Labor
2020-02-03SenateConstitutional reading dispensed
2020-01-31HouseVOTE: Passage (65-Y 33-N)
2020-01-31HouseRead third time and passed House (65-Y 33-N)
2020-01-30HousePrinted as engrossed 20106372D-EH1
2020-01-30HouseEngrossed by House - committee substitute with amendments HB789EH1
2020-01-30HouseAmendments by Delegate Bagby agreed to
2020-01-30HouseCommittee substitute agreed to 20106372D-H1
2020-01-30HouseRead second time
2020-01-29HousePassed by for the day
2020-01-28HousePassed by for the day
2020-01-27HouseRead first time
2020-01-23HouseIncorporates HB843 (Murphy)
2020-01-23HouseIncorporates HB184 (Levine)
2020-01-23HouseIncorporates HB1296 (Helmer)
2020-01-23HouseIncorporates HB1265 (Carroll Foy)
2020-01-23HouseCommittee substitute printed 20106372D-H1
2020-01-23HouseReported from Labor and Commerce with substitute (14-Y 8-N)
2020-01-07HouseReferred to Committee on Labor and Commerce
2020-01-07HousePrefiled and ordered printed; offered 01/08/20 20104677D

Same As/Similar To

SB421 (Same As) 2020-04-22 - Governor: Acts of Assembly Chapter text (CHAP1258)

Code Citations

ChapterArticleSectionCitation TypeStatute Text
591200(n/a)See Bill Text
591335.5(n/a)See Bill Text
621500(n/a)See Bill Text
621501(n/a)See Bill Text
621507(n/a)See Bill Text
621520(n/a)See Bill Text
621523(n/a)See Bill Text
621523.1(n/a)See Bill Text
621523.2(n/a)See Bill Text
621532.3(n/a)See Bill Text
621800(n/a)See Bill Text
621801(n/a)See Bill Text
621803(n/a)See Bill Text
621804(n/a)See Bill Text
621807(n/a)See Bill Text
621809(n/a)See Bill Text
621810(n/a)See Bill Text
621811(n/a)See Bill Text
621816(n/a)See Bill Text
621816.1(n/a)See Bill Text
621817(n/a)See Bill Text
621817.1(n/a)See Bill Text
621818(n/a)See Bill Text
621818.1(n/a)See Bill Text
621818.4(n/a)See Bill Text
621819(n/a)See Bill Text
621820(n/a)See Bill Text
621827(n/a)See Bill Text
621828(n/a)See Bill Text
622200(n/a)See Bill Text
622201(n/a)See Bill Text
622203(n/a)See Bill Text
622204(n/a)See Bill Text
622207(n/a)See Bill Text
622209.1(n/a)See Bill Text
622210(n/a)See Bill Text
622215(n/a)See Bill Text
622215.1(n/a)See Bill Text
622216(n/a)See Bill Text
622216.1(n/a)See Bill Text
622216.5(n/a)See Bill Text
622217(n/a)See Bill Text
622218.1(n/a)See Bill Text
622224(n/a)See Bill Text
622225(n/a)See Bill Text
622226(n/a)See Bill Text
62303(n/a)See Bill Text
62312(n/a)See Bill Text
62435(n/a)See Bill Text

Virginia State Sources

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Bill Comments