Consumer Credit Access, Innovation, and Modernization Act

Bill: 112-hr-6139
Sponsor: Rep. Luetkemeyer, Blaine [R-MO-9]
Introduced: 2012-07-18 in the House
Policy area: Finance and Financial Sector
Subjects: Administrative law and regulatory procedures
Banking and financial institutions regulation
Consumer credit
Credit and credit markets
Department of the Treasury
Federally chartered organizations
Financial services and investments
Small business
User charges and fees

Summary:
action_date: 2012-07-18
text: 
Consumer Credit Access, Innovation, and Modernization Act - Directs the Comptroller of the Currency to charter qualified nondepository creditors known as National Consumer Credit Corporations (Credit Corporations) to offer financial products or services. 
 
Requires a qualified nondepository creditor seeking a federal charter to submit an application which includes in part: (1) a business plan for at least a three-year period with its primary business activities serving underserved consumers and small businesses; (2) a market demand forecast, the intended customer base, competition, economic conditions, financial projections, and business risks; (3) a marketing plan that describes the types of financial products or services such creditor intends to offer; and (4) adequate capital structure.
 
Directs the Comptroller to: (1) ensure that Credit Corporations focus their business operations primarily on providing underserved consumers a variety of affordable and commercially viable financial products or services, including some that facilitate personal savings and enhance the credit record of such consumers; (2) facilitate business partnerships among Credit Corporations, insured depository institutions, other nondepository creditors, third-party service providers and vendors, and nonprofit organizations in order to ensure greater credit access for underserved consumers and small businesses; and (3) examine and supervise the Credit Corporations. 
 
Requires Credit Corporations to make available to each consumer to whom a financial product or service is being offered: (1) information on how a consumer may obtain financial counseling services, the benefits of following a regular personal savings program, and how consumers can improve their credit ratings; (2) disclose clearly and conspicuously in the loan agreement the true cost of the loan, including all interest, fees, and loan related charges; and (3) offer an underserved consumer who is unable to repay an extension of credit with a loan repayment term of less than 120 days, an extended repayment plan, at no cost to the consumer, at least once in a 12-month period.
 
Prohibits specified practices.
 
Prescribes: (1) a national consumer credit corporation regulatory fee, (2) a usury limit, and (3) civil penalties.
 
Grants enforcement powers to the Comptroller and state attorneys general. 


Legislative actions:
action_date: 2012-10-01
text: Referred to the Subcommittee on Financial Institutions and Consumer Credit.
action_date: 2012-07-24
text: Hearings Held by the Subcommittee on Financial Institutions and Consumer Credit Prior to Referral.
action_date: 2012-07-18
text: Referred to the House Committee on Financial Services.
action_date: 2012-07-18
text: Introduced in House
action_date: 2012-07-18
text: Introduced in House