[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3490 Reported in House (RH)]
<DOC>
Union Calendar No. 336
116th CONGRESS
2d Session
H. R. 3490
[Report No. 116-417]
To amend the Truth in Lending Act to prohibit certain unfair credit
practices, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
June 25, 2019
Ms. Velazquez (for herself, Mr. Marshall, and Mr. Schneider) introduced
the following bill; which was referred to the Committee on Financial
Services
March 19, 2020
Reported with an amendment; committed to the Committee of the Whole
House on the State of the Union and ordered to be printed
[Strike out all after the enacting clause and insert the part printed
in italic]
[For text of introduced bill, see copy of bill as introduced on June
25, 2019]
_______________________________________________________________________
A BILL
To amend the Truth in Lending Act to prohibit certain unfair credit
practices, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Small Business Lending Fairness
Act''.
SEC. 2. OBLIGOR TRANSACTIONS.
(a) In General.--Chapter 2 of the Truth in Lending Act (15 U.S.C.
1631 et seq.) is amended by adding at the end the following:
``Sec. 140B. Unfair credit practices
``(a) In General.--In connection with the extension of credit or
creation of debt in or affecting commerce, as defined in section 4 of
the Federal Trade Commission Act (15 U.S.C. 44), including any advance
of funds or sale or assignment of future income or receivables that may
or may not be credit, no person may directly or indirectly take or
receive from another person an obligation that constitutes or contains
a cognovit or confession of judgment (for purposes other than executory
process in the State of Louisiana), warrant of attorney, or other
waiver of the right to notice and the opportunity to be heard in the
event of suit or process thereon.
``(b) Exemption.--The exemption in section 104(1) shall not apply
to this section.''.
(b) Technical and Conforming Amendments.--
(1) Section 103 of the Truth in Lending Act (15 U.S.C.
1602) is amended by adding at the end the following:
``(ff) The term `debt' means any obligation of a person to pay to
another person money--
``(1) regardless of whether such obligation is absolute or
contingent if the understanding between the parties is that any
part of the money shall be or may be returned;
``(2) that includes the right of the person providing the
money to an equitable remedy for breach of performance if the
breach gives rise to a right to payment; and
``(3) regardless of whether the obligation or right to an
equitable remedy described in paragraph (2) has been reduced to
judgment, fixed, contingent, matured, unmatured, disputed,
undisputed, secured, or unsecured.''.
(2) Section 130(a) of the Truth in Lending Act (15 U.S.C.
1640) is amended by striking ``creditor'' each place the term
appears and inserting ``person''.
(3) The table of sections in chapter 2 of the Truth in
Lending Act (15 U.S.C. 1631 et seq.) is amended by adding at
the end the following:
``140B. Unfair credit practices.''.
Union Calendar No. 336
116th CONGRESS
2d Session
H. R. 3490
[Report No. 116-417]
_______________________________________________________________________
A BILL
To amend the Truth in Lending Act to prohibit certain unfair credit
practices, and for other purposes.
_______________________________________________________________________
March 19, 2020
Reported with an amendment; committed to the Committee of the Whole
House on the State of the Union and ordered to be printed