H 7868

2026 -- H 7868
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 LC005707
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  STATE  OF        RHODE  ISLAND
  IN GENERAL ASSEMBLY
  JANUARY SESSION, A.D. 2026
  ____________
  AN ACT
  RELATING TO FINANCIAL INSTITUTIONS -- SMALL LOAN LENDERS
  Introduced By: Representatives Serpa, and Fellela
  Date Introduced: February 27, 2026
  Referred To: House Corporations
 It is enacted by the General Assembly as follows:
1SECTION 1. Sections 19-14.2-8 and 19-14.2-12 of the General Laws in Chapter 19-14.2
2 entitled "Small Loan Lenders" are hereby amended to read as follows:
319-14.2-8. Maximum loan and interest rate.
4Every small loan lender may charge an origination fee the lesser of one hundred dollars
5 ($100) or up to five percent (5%) of the amount borrowed and lend up to five thousand dollars
6 ($5,000) in the aggregate to one borrower and may charge, contract for, and receive on the loan
7 interest on the unpaid principal balance on a loan at a rate not exceeding the following:
8(1) Loans up to and including three hundred dollars ($300), three percent (3%) five percent
9 (5%) per month plus a monthly service fee up to five dollars ($5.00);
10(2) Loans exceeding three hundred dollars ($300) but not exceeding eight hundred dollars
11 ($800), two and one-half percent (2.5%) four and one-half percent (4.5%) per month plus a monthly
12 service fee up to ten dollars ($10.00); and
13(3) Loans exceeding eight hundred dollars ($800), but not exceeding five thousand dollars
14 ($5,000), two percent (2%) four percent (4%) per month plus a monthly service fee up to thirty
15 dollars ($30.00).
1619-14.2-12. Small loans — No other charges — Exception.
17In addition to the interest and fees allowed in this chapter, no small loan licensee shall
18 directly, or indirectly, charge, contract for, or receive any other charges except credit insurance,
19 lawful filing fees and insurance charges, and other fees listed in § 6-26-2(c) or as authorized by
1 regulation.
2SECTION 2. This act shall take effect upon passage.
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  EXPLANATION
  BY THE LEGISLATIVE COUNCIL
  OF
  AN ACT
  RELATING TO FINANCIAL INSTITUTIONS -- SMALL LOAN LENDERS
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1This act would allow a lender to charge an origination fee, increase interest rates and collect
2 a monthly service fee, on loans up to three hundred dollars ($300) but not exceeding five thousand
3 dollars ($5,000).
4This act would take effect upon passage.
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