[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[H. Con. Res. 312 Introduced in House (IH)]







106th CONGRESS
  2d Session
H. CON. RES. 312

   Expressing the sense of the Congress that the States should more 
 closely regulate title pawn transactions and outlaw the imposition of 
          usurious interest rates on title loans to consumers.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             April 13, 2000

Mr. Shaw (for himself, Mrs. Meek of Florida, Mr. McCollum, Mr. Hastings 
 of Florida, Ms. Ros-Lehtinen, Mrs. Thurman, Mr. Davis of Florida, and 
 Mr. Stearns) submitted the following concurrent resolution; which was 
      referred to the Committee on Banking and Financial Services

_______________________________________________________________________

                         CONCURRENT RESOLUTION


 
   Expressing the sense of the Congress that the States should more 
 closely regulate title pawn transactions and outlaw the imposition of 
          usurious interest rates on title loans to consumers.

Whereas title loan lenders make title loans and title pawns to consumers by 
        attaining the consumer's automobile title as collateral;
Whereas these loans and pawns are often offered at unscrupulously high rates of 
        interest;
Whereas in many cases borrowers are forced to pay interest rates of up to 300 
        percent per year;
Whereas many of these borrowers are unaware of applicable rates and are forced 
        into deeper and deeper debt to pay the initial lien;
Whereas this industry takes advantage of uneducated and poor consumers through 
        usurious and exploitive lending practices;
Whereas title loans and title pawns threaten the ability of consumers to hold a 
        job since default on the loan or pawn will result in repossession and 
        sale of their car, which is often their only means of transportation to 
        and from work;
Whereas this industry is expanding rapidly throughout the United States;
Whereas the States have traditionally protected their citizens from usurious 
        lending and abusive credit practices;
Whereas a number of States have already resolved this problem on their own 
        without Federal intervention;
Whereas this problem is particularly acute in Alabama, Florida, Georgia, Idaho, 
        Illinois, Minnesota, Mississippi, Missouri, Montana, Nevada, New 
        Hampshire, New Mexico, Oregon, South Carolina, South Dakota, Tennessee, 
        and Utah; and
Whereas this problem has the potential to spread to other States that currently 
        do not closely regulate the title loan and title pawn industry: Now, 
        therefore, be it
    Resolved by the House of Representatives (the Senate concurring), 
That it is the sense of Congress that States should more closely 
regulate title pawn transactions and outlaw the imposition of usurious 
interest rates on title loans to consumers.
                                 <all>