House Bill 902, sponsored by Representative Earl Ehrhart (R – Powder Springs), would transfer authority to govern loans under $3,000 from the Industrial Loan Commissioner to the Department of Banking and Finance. In Georgia, the Industrial Loan Commissioner is also the Commissioner of Insurance in the Office of Insurance and Safety Fire Commissioner. Transferring governance of these loans from the Office of Insurance and Safety Fire Commissioner to the Department of Banking and Finance is a commonsense move.
This bill also changes the title of the Georgia Industrial Loan Act of 1955 to the “Small Consumer Finance Loan Act”. The bill also changes the name of loans under $3,000 from “Industrial Loans” to “Small Consumer Finance Loans”. Georgia Watch believes that this renaming is a much-needed update that would provide clarity on these products. Unfortunately, House Bill 902 did not make it past cross-over day. Georgia Watch thanks Representative Earl Ehrhart for sponsoring such commonsense legislation and hopes that a similar measure will be introduced in the next legislative session.
Update: Georgia Watch’s Executive Director Liz Coyle testified in favor House Bill 902 during a hearing in House Banks & Banking Committee, but unfortunately, this bill did not advance during the 2018 Legislative Session.