AMENDMENTS TO HOUSE BILL NO. 486

On May 11, 2010 the Ohio House of Representatives Consumer Affairs and Economic Protection Committee held a third hearing on House Bill No. 486, during which it voted on amendments to the Bill. We have obtained a copy of the amended Bill, and the committee amendments are as follows:

  • The Small Loan Act and the Mortgage Loan Act would be amended to prohibit a lender from charging, requiring or receiving, in addition to the interest and charges provided for in the Acts, any further or other amount, whether in the form of broker fees, including any fees assessed by a credit services organization.
  • The Small Loan Act and the Mortgage Loan Act would be amended to prohibit a lender from requiring a borrower to obtain membership in an organization or pay a membership fee.
  • The Small Loan Act and the Mortgage Loan Act would be amended to clarify that a lender cannot charge a loan origination charge or credit investigation fee more than once in any ninety-day period, regardless of whether loans are made under the Small Loan Act or the Mortgage Loan Act.
  • The Superintendent of Financial Institutions would be granted the authority to examine the records of a credit services organization, including records that pertain to business transacted under the Small Loan Act and the Mortgage Loan Act.

We have attached a copy of the amended Bill to this Alert. The Bill is scheduled for a vote today by the full House. The House convenes at 1:30 p.m. today.

  • Darrell Dreher and Elizabeth Anstaett