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DE HB279

DE HB279
An Act To Amend Title 5 Of The Delaware Code Relating To Interest Rates On Loans To Individuals.


summary

Introduced
01/21/2020
In Committee
01/21/2020
Crossed Over
Passed
Dead
06/30/2020

Introduced Session

150th General Assembly

Bill Summary

Delaware is one of a handful of states that has no cap other than unconscionability on interest rates for short-term consumer loans. Under Delaware case law, the unconscionability of an interest rate is decided by a court on a case by case basis. This Act caps interest rates at 20% for short-term consumer loans of $1,000 or less that must be repaid in less than 60 days and motor vehicle title loans.

AI Summary

This bill caps interest rates at 20% for short-term consumer loans of $1,000 or less that must be repaid in less than 60 days and motor vehicle title loans in Delaware. Currently, Delaware has no cap on interest rates for such short-term loans, other than a case-by-case determination of unconscionability by the courts. The bill aims to address this by setting a 20% interest rate cap for these types of loans.

Committee Categories

Business and Industry

Sponsors (14)

Last Action

Introduced and Assigned to Economic Development/Banking/Insurance & Commerce Committee in House (on 01/21/2020)

bill text


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