Bill > SB6250

This bill amends existing law concerning small loans, which are short-term loans typically for smaller amounts. The key changes include increasing the maximum principal amount of a single small loan or the total outstanding principal from all small loans to a single borrower from $700 to $1,200, with this amount to be adjusted for inflation annually starting in 2027 based on the Consumer Price Index for urban consumers in the Seattle area. The bill also clarifies that the maximum loan amount is also capped at 30% of the borrower's gross monthly income, whichever is less. Additionally, it maintains the limit of eight small loans per borrower within a 12-month period and adjusts the interest and fee structure for loans over $500, with the first $500 subject to a 15% aggregate fee and any amount exceeding $500 subject to a 10% aggregate fee.

Business and Industry

https://app.leg.wa.gov/billsummary?BillNumber=6250&Year=2025&Initiative=false