VA SB588 | 2008 | Regular Session

Virginia Senate Bill 588 (Prior Session Legislation)

Status

Completed Legislative Action
Spectrum: Partisan Bill (Democrat 1-0)
Status: Passed on April 23 2008 - 100% progression
Action: 2008-04-23 - Governor: Acts of Assembly Chapter text (CHAP0876)

Summary

Payday Loan Act. Requires the State Corporation Commission, by January 1, 2009, to certify and contract with one or more third parties to develop, implement, and maintain an Internet-accessible database, and requires payday lenders to query the database prior to making any loan to determine whether the loan is permissible. Licensees are required to pay a database inquiry fee to the database provider. A payday lender is prohibited from making a payday loan to a person if the loan would cause the borrower to have more than one payday loan outstanding at the same time and from making a payday loan on the same day that the person has paid a previous payday loan. Payday lenders are permitted to charge, on any payday loan, interest at an annual rate of 36 percent, a loan fee of not more than 20 percent of the loan proceeds, and a $5 verification fee. Payday lenders are prohibited from knowingly making loans to a member of the military service or to the spouse or dependent of such person. A borrower may enter into an extended payment plan, which allows the borrower to repay the loan in at least four equal installments over a period of not less than 60 days. A borrower may not enter into more than one extended payment plan in any 12-month period. A payday loan may not be made to a borrower in an extended payment plan or within 90 days after payment of an extended payment plan. The measure provides that the fifth payday loan made to a borrower within 180 days shall either be followed by a 45-day lockout period or be made as an extended term loan, under which the loan will be repaid in four equal installments over a 60-day period and be followed by a 90-day lockout period. Other provisions (i) prohibit a lender from engaging in any unfair, misleading, deceptive, or fraudulent acts or practices in the making or collecting of a payday loan; (ii) require a lender, when collecting or attempting to collect a payday loan when the check given as security for such loan is dishonored, to comply with certain restrictions and prohibitions contained in the Fair Debt Collection Practices Act; (iii) provide that any provision of a written loan agreement that violates the Payday Loan Act is unenforceable against the borrower; and (iv) state that the provisions of the Payday Loan Act apply to Internet lenders. The measure, except the authorization to establish the database, will become effective January 1, 2009.

Title

Payday Loan Act; requires SCC to contract with one or more parties to develop, etc. database.

History

Date	Chamber	Action
2008-04-23		Governor: Acts of Assembly Chapter text (CHAP0876)
2008-04-23		Governor: Approved by Governor-Chapter 876 (effective - see bill)
2008-04-23		House: Signed by Speaker as reenrolled
2008-04-23		Senate: Signed by President as reenrolled
2008-04-23		Senate: Reenrolled bill text (SB588ER2)
2008-04-23		Senate: Reenrolled
2008-04-23		Governor: Governor's recommendation adopted
2008-04-23		House: VOTE: --- ADOPTION (90-Y 7-N)
2008-04-23		House: House concurred in Governor's recommendation (90-Y 7-N)
2008-04-23		Senate: Senate concurred in Governor's recommendation (38-Y 0-N 1-A)
2008-04-22		Senate: Placed on Calendar
2008-04-11		Senate: Governor's recommendation received by Senate
2008-03-11		Senate: Signed by President
2008-03-08		House: Signed by Speaker
2008-03-08		Senate: Bill text as passed Senate and House (SB588ER)
2008-03-08		Senate: Enrolled
2008-03-06		Senate: House substitute with amendments agreed to by Senate (34-Y 2-N 1-A)
2008-03-06		House: VOTE: --- PASSAGE (91-Y 9-N)
2008-03-06		House: Passed House with substitute with amendments (91-Y 9-N)
2008-03-06		House: Engrossed by House - committee substitute with amendments SB588H1
2008-03-06		House: Amendments by Delegate Kilgore agreed to
2008-03-06		House: Committee substitute agreed to 089631300-H1
2008-03-06		House: Read third time
2008-03-05		House: Passed by for the day
2008-03-04		House: Read second time
2008-03-04		House: Committee substitute printed 089631300-H1
2008-03-03		House: Reported from Commerce and Labor with substitute (13-Y 9-N)
2008-02-14		House: Referred to Committee on Commerce and Labor
2008-02-14		House: Read first time
2008-02-14		House: Placed on Calendar
2008-02-12		Senate: Communicated to House
2008-02-12		Senate: Passed Senate (37-Y 2-N 1-A)
2008-02-12		Senate: Constitutional reading dispensed (39-Y 1-N)
2008-02-12		Senate: Printed as engrossed 089553300-ES1
2008-02-12		Senate: Engrossed by Senate - committee substitute with amendment SB588ES1
2008-02-12		Senate: Amendment by Senator Stolle agreed to
2008-02-12		Senate: Reading of amendment waived
2008-02-12		Senate: Amendment by Senator Cuccinelli rejected (15-Y 24-N 1-A)
2008-02-12		Senate: Reading of amendment waived
2008-02-12		Senate: Floor substitute by Senator Locke ruled out of order 089557256-S3
2008-02-12		Senate: Floor substitute by Senator Stolle ruled out of order 089556328-S2
2008-02-12		Senate: Committee substitute agreed to 089553300-S1 (23-Y 15-N 1-A)
2008-02-12		Senate: Reading of substitute waived
2008-02-12		Senate: Constitutional reading dispensed (38-Y 2-N)
2008-02-12		Senate: Floor substitute printed 089557256-S3 (Locke)
2008-02-12		Senate: Floor substitute printed 089556328-S2 (Stolle)
2008-02-12		Senate: Read first time
2008-02-12		Senate: Reported from Commerce and Labor with substitute (13-Y 1-N 1-A)
2008-02-12		Senate: Committee substitute printed 089553300-S1
2008-02-06		Senate: Assigned C&L sub: Special on Payday Lending
2008-01-09		Senate: Referred to Committee on Commerce and Labor
2008-01-09		Senate: Prefiled and ordered printed; offered 01/09/08 080118300