[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[S. 904 Introduced in Senate (IS)]







108th CONGRESS
  1st Session
                                 S. 904

  To amend the Federal Deposit Insurance Act to clarify the scope of 
 provisions relating to applicable rates of interest and other charge 
                              limitations.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             April 11, 2003

Mrs. Lincoln (for herself and Mr. Pryor) introduced the following bill; 
which was read twice and referred to the Committee on Banking, Housing, 
                           and Urban Affairs

_______________________________________________________________________

                                 A BILL


 
  To amend the Federal Deposit Insurance Act to clarify the scope of 
 provisions relating to applicable rates of interest and other charge 
                              limitations.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. CLARIFICATION OF SCOPE OF APPLICABLE RATE PROVISION.

    Section 44(f) of the Federal Deposit Insurance Act (12 U.S.C. 
1831u(f)) is amended by adding at the end the following new paragraphs:
            ``(3) Other lenders.--In the case of any other lender doing 
        business in the State described in paragraph (1), the maximum 
        interest rate or amount of interest, discount points, finance 
        charges, or other similar charges that may be charged, taken, 
        received, or reserved from time to time in any loan, discount, 
        or credit sale made, or upon any note, bill of exchange, 
        financing transaction, or other evidence of debt issued to or 
        acquired by any other lender shall be equal to not more than 
        the greater of the rates described in subparagraph (A) or (B) 
        of paragraph (1).
            ``(4) Other lender defined.--For purposes of paragraph (3), 
        the term `other lender' means any person engaged in the 
        business of selling or financing the sale of personal property 
        (and any servicers incidental to the sale of personal property) 
        in such State, except that, with regard to any person or entity 
        described in such paragraph, such term does not include--
                    ``(A) an insured depository institution; or
                    ``(B) any person or entity engaged in the business 
                of providing a short-term case advance to any consumer 
                in exchange for--
                            ``(i) a consumer's personal check or share 
                        draft, in the amount of the advance plus a fee, 
                        where presentment or negotiation of such check 
                        or share draft is deferred by agreement of the 
                        parties until a designated future date; or
                            ``(ii) a consumer authorization to debit 
                        the consumer's transaction account, in the 
                        amount of the advance plus a fee, where such 
                        account will be debited on or after a 
                        designated future date.''.
                                 <all>