I 
116TH CONGRESS 
1ST SESSION H. R. 2930 
To protect consumers from usury. 
IN THE HOUSE OF REPRESENTATIVES 
MAY 22, 2019 
Ms. OCASIO-CORTEZ
(for herself, Mr. THOMPSON
of Mississippi, Ms. 
PRESSLEY, Ms. TLAIB, Ms. OMAR, Mr. CLAY, Ms. JACKSON LEE, and 
Ms. VELA´ZQUEZ) introduced the following bill; which was referred to the 
Committee on Financial Services 
A BILL 
To protect consumers from usury. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Loan Shark Prevention 
Act’’. 
SEC. 2. INTEREST RATE REDUCTION. 
(a) NATIONAL CONSUMER CREDIT USURY RATE.— 
Section 107 of the Truth in Lending Act (15 U.S.C. 1606) 
is amended by adding at the end the following new sub-
section: 
‘‘(f) NATIONAL CONSUMER CREDIT USURY RATE.— 
VerDate Sep 11 2014 
19:14 Jun 06, 2019
Jkt 089200
PO 00000
Frm 00001
Fmt 6652
Sfmt 6201
E:\BILLS\H2930.IH
H2930
pamtmann on DSKBFK8HB2PROD with BILLS
‘‘(1) LIMITATION ESTABLISHED.— 
‘‘(A) IN GENERAL.—Notwithstanding sub-
section (a) or any other provision of law, but 
except as provided in paragraph (2), the annual 
percentage rate applicable to any extension of 
credit may not exceed the lesser of— 
‘‘(i) 15 percent on unpaid balances, 
inclusive of all finance charges; or 
‘‘(ii) the maximum rate permitted by 
the laws of the State in which the con-
sumer resides. 
‘‘(B) OTHER FEES.—Any fees that are not 
considered finance charges under section 106(a) 
may not be used to evade the limitations of this 
paragraph, and the total sum of such fees may 
not exceed the total amount of finance charges 
assessed. 
‘‘(2) EXCEPTIONS.— 
‘‘(A) BOARD AUTHORITY.—The Board may 
establish, after consultation with the appro-
priate committees of Congress, the Secretary of 
the Treasury, and any other interested Federal 
financial institution regulatory agency, an an-
nual percentage rate of interest ceiling exceed-
ing the 15 percent annual rate under paragraph 
VerDate Sep 11 2014 
19:14 Jun 06, 2019
Jkt 089200
PO 00000
Frm 00002
Fmt 6652
Sfmt 6201
E:\BILLS\H2930.IH
H2930
pamtmann on DSKBFK8HB2PROD with BILLS
(1) for periods of not to exceed 18 months, 
upon a determination that— 
‘‘(i) money market interest rates have 
risen over the preceding 6-month period; 
and 
‘‘(ii) prevailing interest rate levels 
threaten the safety and soundness of indi-
vidual lenders, as evidenced by adverse 
trends in liquidity, capital, earnings, and 
growth. 
‘‘(B) TREATMENT OF CREDIT UNIONS.— 
The limitation in paragraph (1) does not apply 
with respect to any extension of credit by an in-
sured credit union, as that term is defined in 
section 101 of the Federal Credit Union Act 
(12 U.S.C. 1752). 
‘‘(3) 
PENALTIES
FOR
CHARGING
HIGHER 
RATES.— 
‘‘(A) VIOLATION.—The taking, receiving, 
reserving, or charging of an annual percentage 
rate or fee greater than that permitted by para-
graph (1), when knowingly done, shall be 
deemed a violation of this title, and a forfeiture 
of the entire interest which the note, bill, or 
VerDate Sep 11 2014 
19:14 Jun 06, 2019
Jkt 089200
PO 00000
Frm 00003
Fmt 6652
Sfmt 6201
E:\BILLS\H2930.IH
H2930
pamtmann on DSKBFK8HB2PROD with BILLS
other evidence of the obligation carries with it, 
or which has been agreed to be paid thereon. 
‘‘(B) REFUND OF INTEREST AMOUNTS.—If 
an annual percentage rate or fee greater than 
that permitted under paragraph (1) has been 
paid, the person by whom it has been paid, or 
the legal representative thereof, may, by bring-
ing an action not later than 2 years after the 
date on which the usurious collection was last 
made, recover back from the lender in an action 
in the nature of an action of debt, the entire 
amount of interest, finance charges, or fees 
paid. 
‘‘(4) CIVIL LIABILITY.—Any creditor who vio-
lates this subsection shall be subject to the provi-
sions of section 130. 
‘‘(g) RELATION TO STATE LAW.—Nothing in this 
section may be construed to preempt any provision of 
State law that provides greater protection to consumers 
than is provided in this section.’’. 
(b) CIVIL LIABILITY CONFORMING AMENDMENT.— 
Section 130(a) of the Truth in Lending Act (15 U.S.C. 
1640(a)) is amended by inserting ‘‘section 107(f),’’ before 
‘‘this chapter’’. 
Æ 
VerDate Sep 11 2014 
19:14 Jun 06, 2019
Jkt 089200
PO 00000
Frm 00004
Fmt 6652
Sfmt 6301
E:\BILLS\H2930.IH
H2930
pamtmann on DSKBFK8HB2PROD with BILLS