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Bill > HB1309


VA HB1309

VA HB1309
Consumer finance companies; additional charges.


summary

Introduced
01/16/2026
In Committee
02/18/2026
Crossed Over
02/16/2026
Passed
Dead

Introduced Session

2026 Regular Regular Session

Bill Summary

Consumer finance companies; additional charges. Provides that, for the purposes of the prohibition on additional charges by consumer finance companies, exceptions to such prohibition include (i) charges for guaranteed asset protection waivers for the protection and benefit of the borrower in connection with any loan and (ii) charges for guaranteed asset protection insurance for the protection and benefit of the borrower in connection with any loan.

AI Summary

This bill amends existing law to allow consumer finance companies to charge borrowers for Guaranteed Asset Protection (GAP) waivers and GAP insurance in addition to other permitted fees, provided these charges are for the borrower's protection and benefit in connection with a loan. GAP waivers and insurance are financial products designed to protect borrowers by covering the difference between what their auto insurance pays out and the amount owed on a vehicle loan if the vehicle is totaled or stolen. The bill clarifies that these specific charges are exceptions to the general prohibition against consumer finance companies imposing additional fees beyond interest, late payment fees, and loan processing fees.

Committee Categories

Business and Industry

Sponsors (2)

Last Action

Referred to Committee on Commerce and Labor (on 02/18/2026)

bill text


bill summary

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bill summary

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bill summary

Document Type Source Location
State Bill Page https://lis.virginia.gov/bill-details/20261/HB1309
Fiscal Note/Analysis - Fiscal Impact Statement from State Corporation Commission (HB1309) https://lis.blob.core.windows.net/files/1096316.PDF
BillText https://lis.virginia.gov/bill-details/20261/HB1309/text/HB1309
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