Lawmakers in Richmond are taking action that could result in a crackdown on high-interest loans many consider predatory.
When lawmakers arrived here in Richmond this year, they were facing about a dozen bills to crack down on lenders who operate in the shadows, using loopholes to evade regulations designed to protect consumers. None of those measures will pass this year. Instead, lawmakers are creating a special commission to look into the issue and offer recommendations for next year. Democratic Delegate Mark Keam of Vienna says the first step is acknowledging there’s a problem.
“Half of the room acknowledges a major problem that’s hurting real people, real consumers who are suffering every single day. And then the other half of the room says those aren’t problems.”
Most of the Republicans don’t see much of a problem. One Republican who does, though, is Delegate Peter Farrell of Richmond, who says he’s hopeful that the commission can come up with solutions lawmakers will take a look at next year.
“There are what I believe to be plus sides to being a part time legislature, and there are downsides to being a part-time legislature. One of the downsides is you can’t keep working during one session in a short session. Sometimes it takes a year.”
Republican Delegate Terry Kilgore, who is chairman of the panel that oversees the industry, is expected to name members of the commission in the next few weeks.
