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Bill > SB57


NM SB57

NM SB57
State Employee Wage Deducted For Loans


summary

Introduced
01/19/2021
In Committee
02/01/2021
Crossed Over
Passed
Dead
03/20/2021

Introduced Session

2021 Regular Session

Bill Summary

AN ACT RELATING TO STATE EMPLOYEES; PROVIDING FOR A PROGRAM THROUGH WHICH PARTICIPATING STATE EMPLOYEES HAVE PORTIONS OF THEIR SALARIES OR WAGES DEDUCTED AND DISBURSED FOR THE REPAYMENT OF PERSONAL LOANS.

AI Summary

This bill establishes an employee loan program for state employees in New Mexico, where the state will deduct a portion of the participating employee's salary or wages to be disbursed directly to qualified lenders for the repayment of personal loans. The program is designed to pose no financial risk to the state, and the deducted amount cannot exceed 12% of the employee's gross salary or wages per pay period. The loans must have an annual percentage rate of 30% or less, a term of one year or less, and cannot use the employee's credit score to determine eligibility. The state has no involvement in the loan decision process and does not use state funds to repay, subsidize, or guarantee the loans.

Committee Categories

Budget and Finance, Health and Social Services

Sponsors (1)

Last Action

SHPAC: Reported by committee with Do Pass recommendation (on 02/01/2021)

bill text


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