West Virginia Amends Consumer Credit and Protection Act

The amendments exempt collection agencies from licensing.

5/13/2019 10:00 AM

NewsState
West Virginia Amends Consumer Credit and Protection Act

Eric Rosenkoetter, an ACA International member and attorney with Maurice Wutscher LLP, provides insight on new amendments to licensing laws, which took effect in West Virginia June 7, 2019.

According to a blog post from Rosenkoetter, on March 26, West Virginia Gov. Jim Justice approved House Bill 3143 which amends the state’s Consumer Credit and Protection Act.

First, current law provides that a Regulated Consumer Lender License is required for:

  1. Making regulated consumer loans; or
  2. Taking assignments of or undertaking direct collection of payments from or enforcement of rights against consumers arising from regulated consumer loans (W. Va. Code § 46A-4-101).

The amendment excludes from licensing under this section collection agencies that are licensed pursuant to the West Virginia Collection Agency Act, Rosenkoetter reports.

Second, the bill increases the dollar thresholds for certain loans to which maximum finance charges apply:

  • 31% for loans unsecured by real property in the amount of $3,500 or less (increased from $2,000 or less)
  • 27% for loans secured by real property in an amount greater than $3,500 to $15,000 (increased from greater than $2,000)
  • 18% for loans greater than $15,000 (increased from greater than $10,000)

The effective date of the amendments is June 7.

If you are interested in sharing articles and analysis on legal cases, industry laws and regulations or other relevant topics for possible publication with ACA International, email our Communications Department at comm@acainternational.org.


Follow ACA International on Twitter @ACAIntl and @acacollector, Facebook and request to join our LinkedIn group for news and event updates. ACA International members are welcome to submit news items for possible publication to comm@acainternational.org. Visit our publications page for news submission guidelines and subscriptions to ACA Daily, Collector magazine and Pulse.

Advertising is available for companies wishing to promote their products or services. Be sure to visit the ACA Events Calendar on the Education and Training page to view our listing of upcoming CORE Curriculum and Hot Topic seminars featuring critical educational opportunities for your company.


Subscribe to ACA Daily NEWSROOM

Loading...

Loading...