This bill amends the Code of West Virginia to establish a new maximum annual interest rate for regulated consumer lenders on installment loans up to $35,000, allowing a finance charge of up to 36 percent per year on the unpaid balance. The bill specifies that these loans must have a term of no fewer than six months and no more than 120 months, with repayments made in substantially equal consecutive payments. Additionally, the bill removes the previous cap on nonrevolving loans when determining finance charges, which previously limited the interest rates based on the loan amount.

Furthermore, the bill modifies existing provisions regarding finance charges for revolving loan accounts and clarifies the calculation methods for these charges. It allows for certain fees related to loan origination and investigation to be included in the finance charge, while also ensuring that lenders cannot impose additional charges unless the loan is made. The legislation aims to enhance the regulatory framework for consumer lending in West Virginia by providing clearer guidelines on interest rates and finance charges.

Statutes affected:
Introduced Version: 46A-4-107