Three brand new legislation finalized by Ca Gov. Gavin Newsom in present days will affect credit into the state by capping interest levels on payday along with other customer installment loans, providing automatic exemptions for bank-account levies and getting rid of exemptions for lawyers and home mortgages through the Rosenthal Act.
California Financing Law Expanded
AB 539 amends the California Financing Law, which licenses and regulates finance loan providers and agents, by imposing restrictions that are new loans of $2,500 or even more but significantly less than $10,000. It adds an interest rate limit on those loans so the yearly interest that is simple may well not meet or exceed 36 % in addition to the federal funds price. The CFL presently imposes limitations on loans of significantly less than $2,500. Continue reading “Three New California Laws Will Influence Credit Rating”