Bill

Bill > H7724


RI H7724

RI H7724
Establishes a maximum per annum rate of interest on small loans at ninety-nine percent (99%) and limit the amounts of origination and closing fees. Also requires that late fees and returned payment fees be agreed to in writing between borrower and lender.


summary

Introduced
02/12/2026
In Committee
02/12/2026
Crossed Over
Passed
Dead

Introduced Session

2026 Regular Session

Bill Summary

This act would establish a maximum per annum rate of interest on small loans at ninety- nine percent (99%) and limit the amounts of origination and closing fees. This act would also require that late fees and returned payment fees be agreed to in writing between borrower and lender. This act would take effect upon passage.

AI Summary

This bill establishes a maximum annual interest rate of ninety-nine percent (99%) for small loans, which are loans up to $5,000. It also sets limits on origination fees, which are charged when a loan is first issued, to a maximum of ten percent (10%) of the original loan amount, and closing fees, which are charged at the end of the loan process, to a maximum of four percent (4%) of the original loan amount. Importantly, any late fees, which are charged when a payment is overdue, and returned payment fees, which are charged when a payment cannot be processed, must be explicitly agreed upon in writing between the borrower and the lender and are not included in the annual interest rate. This bill will become law immediately upon its passage.

Committee Categories

Business and Industry

Sponsors (1)

Last Action

Withdrawn at sponsor's request (on 02/13/2026)

bill text


bill summary

Loading...

bill summary

Loading...

bill summary

Loading...