Three brand new laws and regulations finalized by Ca Gov. Gavin Newsom in present days will influence credit rating in the state by capping interest levels on payday as well as other customer installment loans, offering automated exemptions for banking account levies and getting rid of exemptions for lawyers and home loans through the Rosenthal Act.
California Financing Law Expanded
AB 539 amends the California Financing Law, which licenses and regulates finance loan providers and brokers, by imposing new limitations on loans of $2,500 or even more but significantly less than $10,000. It adds an interest rate limit on those loans so the annual simple rate of interest may well not surpass 36 % and the federal funds price. (more…)