Colorado 2023 Regular Session

Colorado House Bill HB1229 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
	1	+	First Regular Session
	2	+	Seventy-fourth General Assembly
	3	+	STATE OF COLORADO
	4	+	REREVISED
	5	+	This Version Includes All Amendments
	6	+	Adopted in the Second House
	7	+	LLS NO. 23-0766.01 Josh Schultz x5486
1	8		HOUSE BILL 23-1229
2		-	BY REPRESENTATIVE(S) Weissman and Mabrey, Amabile, Bacon,
3		-	Boesenecker, Brown, deGruy Kennedy, Epps, Froelich, Garcia,
4		-	Gonzales-Gutierrez, Jodeh, Joseph, Kipp, Lieder, Lindstedt,
5		-	Michaelson Jenet, Ortiz, Parenti, Sharbini, Sirota, Story, Titone, Velasco,
6		-	Vigil, Willford, Woodrow, Young, Dickson, Duran, English, Hamrick,
7		-	Herod, Lindsay, McCormick, Snyder, Valdez, Ricks;
8		-	also SENATOR(S) Gonzales, Fields, Buckner, Cutter, Kolker, Moreno,
9		-	Priola, Rodriguez, Sullivan.
	9	+	House Committees Senate Committees
	10	+	Finance Business, Labor, & Technology
	11	+	A BILL FOR AN ACT
10	12		C
11		-	ONCERNING CHANGES TO CONSUMER LENDING LAWS TO LIMIT CHARGES TO
12		-	CONSUMERS
13		-	.
14		-
15		-	Be it enacted by the General Assembly of the State of Colorado:
16		-	SECTION 1. In Colorado Revised Statutes, repeal and reenact,
17		-	with amendments, 5-2-213 as follows:
	13	+	ONCERNING CHANGES TO CONSUM ER LENDING LAWS TO LIMIT101
	14	+	CHARGES TO CONSUMERS .102
	15	+	Bill Summary
	16	+	(Note: This summary applies to this bill as introduced and does
	17	+	not reflect any amendments that may be subsequently adopted. If this bill
	18	+	passes third reading in the house of introduction, a bill summary that
	19	+	applies to the reengrossed version of this bill will be available at
	20	+	http://leg.colorado.gov
	21	+	.)
	22	+	The bill amends the Colorado "Uniform Consumer Credit Code"
	23	+	to change the terms and interest rates that a lender may charge in a
	24	+	consumer credit transaction.
	25	+	The bill amends the calculation of the total amount of the finance
	26	+	charge that a supervised lender or seller may contract for and receive to
	27	+	include the total cost of specific additional charges in connection with a
	28	+	SENATE
	29	+	3rd Reading Unamended
	30	+	May 1, 2023
	31	+	SENATE
	32	+	Amended 2nd Reading
	33	+	April 28, 2023
	34	+	HOUSE
	35	+	3rd Reading Unamended
	36	+	April 11, 2023
	37	+	HOUSE
	38	+	Amended 2nd Reading
	39	+	April 10, 2023
	40	+	HOUSE SPONSORSHIP
	41	+	Weissman and Mabrey, Amabile, Bacon, Boesenecker, Brown, deGruy Kennedy, Epps,
	42	+	Froelich, Garcia, Gonzales-Gutierrez, Jodeh, Joseph, Kipp, Lieder, Lindstedt, Michaelson
	43	+	Jenet, Ortiz, Parenti, Sharbini, Sirota, Story, Titone, Velasco, Vigil, Willford, Woodrow,
	44	+	Young, Dickson, Duran, English, Hamrick, Herod, Lindsay, McCormick, Snyder, Valdez
	45	+	SENATE SPONSORSHIP
	46	+	Gonzales, Fields, Buckner, Cutter, Kolker, Moreno, Priola, Rodriguez, Sullivan
	47	+	Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment.
	48	+	Capital letters or bold & italic numbers indicate new material to be added to existing law.
	49	+	Dashes through the words or numbers indicate deletions from existing law. consumer credit transaction.
	50	+	The bill modifies the requirements for alternative charges for loans
	51	+	not exceeding $1,000 as follows:
	52	+	! Reduces the permissible acquisition charge on the original
	53	+	loan or any refinanced loan to 5% of the amount financed;
	54	+	! Reduces the permissible amount for a monthly installment
	55	+	account handling charge;
	56	+	! Increases the minimum loan term;
	57	+	! Eliminates delinquency charges for the loan;
	58	+	! Amends the conditions upon which an acquisition charge
	59	+	must be refunded to the consumer;
	60	+	! Details the requirements for an application for the loan and
	61	+	specifies how the loan application requirements impact a
	62	+	determination of unconscionability of the loan; and
	63	+	! Limits the number of times a lender may refinance a
	64	+	consumer loan to once in a year.
	65	+	The bill also opts Colorado out of the amendments to the "Federal
	66	+	Deposit Insurance Act", the federal "National Housing Act", and the
	67	+	"Federal Credit Union Act" and specifies that rates established in the
	68	+	Colorado "Uniform Consumer Credit Code" apply to consumer credit
	69	+	transactions in this state.
	70	+	Be it enacted by the General Assembly of the State of Colorado:1
	71	+	2
	72	+	SECTION 1. In Colorado Revised Statutes, repeal and reenact,3
	73	+	with amendments, 5-2-213 as follows:4
18	74		5-2-213. General-purpose credit cards - definitions. (1) A
19		-	S ~~USED~~
20		-	~~IN THIS SECTION~~
21		-	:
	75	+	S
	76	+	5
	77	+	USED IN THIS SECTION:6
22	78		(a) "G
23		-	ENERAL-PURPOSE CREDIT CARD" MEANS ANY CARD, PLATE, OR
24		-	OTHER SINGLE CREDIT DEVICE THAT MAY BE USED FROM TIME TO TIME TO
25		-	NOTE: This bill has been prepared for the signatures of the appropriate legislative
26		-	officers and the Governor. To determine whether the Governor has signed the bill
27		-	or taken other action on it, please consult the legislative status sheet, the legislative
28		-	history, or the Session Laws.
29		-	________
30		-	Capital letters or bold & italic numbers indicate new material added to existing law; dashes
31		-	through words or numbers indicate deletions from existing law and such material is not part of
32		-	the act. OBTAIN CONSUMER CREDIT UNDER AN OPEN -END CREDIT PLAN OFFERED BY
33		-	A SUPERVISED FINANCIAL ORGANIZATION
34		-	, AS DEFINED IN SECTION 5-1-301
35		-	(45),
36		-	THAT:
	79	+	ENERAL-PURPOSE CREDIT CARD" MEANS ANY CARD, PLATE,
	80	+	7
	81	+	OR OTHER SINGLE CREDIT DEVICE THAT MAY BE USED FROM TIME TO TIME8
	82	+	TO OBTAIN CONSUMER CREDIT UNDER AN OPEN -END CREDIT PLAN OFFERED9
	83	+	BY A SUPERVISED FINANCIAL ORGANIZATION , AS DEFINED IN SECTION10
	84	+	5-1-301
	85	+	(45), THAT:
	86	+	11
37	87		(I) I
38		-	S ACCEPTED BY ANY MERCHANT THAT PARTICIPATES IN A WIDELY
39		-	ACCEPTED PAYMENT CARD NETWORK AND IS ACCEPTED UPON PRESENTATION
40		-	AT MULTIPLE
41		-	, UNAFFILIATED MERCHANTS FOR GOODS OR SERVICES ;
	88	+	S ACCEPTED BY ANY MERCHANT THAT PARTICIPATES IN A
	89	+	12
	90	+	WIDELY ACCEPTED PAYMENT CARD NETWORK AND IS ACCEPTED UPON13
	91	+	1229-2- PRESENTATION AT MULTIPLE, UNAFFILIATED MERCHANTS FOR GOODS OR1
	92	+	SERVICES;2
42	93		(II) D
43	94		OES NOT CHARGE FEES, INCLUDING PRE-ACCOUNT OPENING
44		-	FEES
45		-	, WHICH EXCEED FIFTEEN PERCENT OF THE CREDIT LINE ; AND
46		-	(III) DOES NOT INCLUDE AN OVERDRAFT LINE OF CREDIT THAT IS
47		-	ACCESSED BY A DEBIT OR PREPAID CARD OR AN ACCOUNT NUMBER
48		-	.
	95	+	3
	96	+	FEES, WHICH EXCEED FIFTEEN PERCENT OF THE CREDIT LINE ; AND4
	97	+	(III) D
	98	+	OES NOT INCLUDE AN OVERDRAFT LINE OF CREDIT THAT IS
	99	+	5
	100	+	ACCESSED BY A DEBIT OR PREPAID CARD OR AN ACCOUNT NUMBER .6
49	101		(b) "O
50		-	PEN-END CREDIT PLAN" MEANS CONSUMER CREDIT ~~EXTENDED~~
51		-	~~BY A CREDITOR UNDER A PLAN IN WHICH~~
52		-	:
	102	+	PEN-END CREDIT PLAN" MEANS CONSUMER CREDIT
	103	+	7
	104	+	EXTENDED BY A CREDITOR UNDER A PLAN IN WHICH :8
53	105		(I) T
54	106		HE CREDITOR REASONABLY CONTEMPLATES REPEATED
55		-	~~TRANSACTIONS~~
56		-	;
	107	+	9
	108	+	TRANSACTIONS;10
57	109		(II) T
58	110		HE CREDITOR MAY IMPOSE A FINANCE CHARGE FROM TIME TO
59		-	TIME ON AN OUTSTANDING UNPAID BALANCE
60		-	; AND
61		-	(III) THE AMOUNT OF CREDIT THAT MAY BE EXTENDED TO THE
62		-	CONSUMER DURING THE TERM OF THE PLAN
63		-	, UP TO ANY LIMIT SET BY THE
64		-	CREDITOR
65		-	, IS GENERALLY MADE AVAILABLE TO THE EXTENT THAT ANY
66		-	OUTSTANDING BALANCE IS REPAID
67		-	.
	111	+	11
	112	+	TIME ON AN OUTSTANDING UNPAID BALANCE ; AND12
	113	+	(III) T
	114	+	HE AMOUNT OF CREDIT THAT MAY BE EXTENDED TO THE
	115	+	13
	116	+	CONSUMER DURING THE TERM OF THE PLAN , UP TO ANY LIMIT SET BY THE14
	117	+	CREDITOR, IS GENERALLY MADE AVAILABLE TO THE EXTENT THAT ANY15
	118	+	OUTSTANDING BALANCE IS REPAID .16
68	119		(2) L
69	120		IMITATIONS IN STATE LAW ON FINANCE CHARGES AND FEES
70		-	~~APPLICABLE TO CONSUMER CREDIT TRANSACTIONS IN SECTIONS~~
71		-	5-2-201,
	121	+	17
	122	+	APPLICABLE TO CONSUMER CREDIT TRANSACTIONS IN SECTIONS 5-2-201,18
72	123		5-2-202,
73	124		AND 5-2-203 SHALL NOT APPLY TO GENERAL -PURPOSE CREDIT
74		-	CARDS
75		-	.
76		-	SECTION 2. In Colorado Revised Statutes, 5-2-214, amend (1),
77		-	(2), (3), (5), and (8); repeal (4); and add (5.5) as follows:
78		-	5-2-214. Alternative charges for loans not exceeding one
79		-	thousand dollars. (1) For a consumer loan where the amount financed is
80		-	not more than one thousand dollars, a supervised lender may charge, in lieu
81		-	of the loan finance charges permitted by section 5-2-201, the following
82		-	PAGE 2-HOUSE BILL 23-1229 finance charges:
83		-	(a) An acquisition charge for making the original loan
84		-	OR ANY
85		-	REFINANCED LOAN
86		-	, not to exceed ten
87		-	EIGHT percent of the amount financed;
88		-	AND
89		-	(a.5) An acquisition charge for making any refinanced loan, not to
90		-	exceed seven and one-half percent of the amount financed; and
91		-	(b) A monthly installment account handling charge, not to exceed
92		-	the following amounts:
93		-	Amount financed Per month charge
94		-	$100.00 - $300 $12.50
95		-	$8.50
96		-	$300.01 - $500 $15.00 $11.50
97		-	$500.01 - $750 $17.50 $14.50
98		-	$750.01 - $1,000 $20.00 $17.50
99		-	(2) The minimum term of a loan made pursuant to this section shall
100		-	be ninety days IS SIX MONTHS. The maximum term of a loan made pursuant
101		-	to this section shall be IS twelve months. All loans shall be scheduled to be
102		-	payable in substantially equal installments at equal periodic intervals.
103		-	(3) On a loan subject to the alternative charges authorized by this
104		-	section, no other finance charge or any other charge or fee is permitted
105		-	except as specifically provided for in this section and except for the
106		-	delinquency charges provided for in section 5-2-203, reasonable attorney
107		-	fees provided for in section 5-5-112 and the fee for a dishonored check
108		-	provided for in section 5-2-202 (1)(e)(II).
109		-	(4) The acquisition charge authorized in this section shall be fully
110		-	earned at the time the loan is made and shall not be subject to refund; except
111		-	that, if the loan is prepaid in full, refinanced, or consolidated within the first
112		-	sixty days, the first ten dollars of the acquisition charge shall be retained by
113		-	the lender and the remainder of the acquisition charge shall be refunded at
114		-	a rate of one-sixtieth of the remainder of the acquisition charge per day,
115		-	PAGE 3-HOUSE BILL 23-1229 beginning on the day after the date of the prepayment, refinancing, or
116		-	consolidation and ending on the sixtieth day after the loan was made.
117		-	(5) Upon the prepayment of a loan made pursuant to this section, the
118		-	unearned portion of the installment account ACQUISITION CHARGE AND THE
119		-	TOTAL MONTHLY INSTALLMENT
120		-	handling charge shall be refunded to the
121		-	consumer. The unearned portion of the installment account handling chargethat is refunded THESE CHARGES shall be calculated pursuant to the
122		-	provisions on rebate upon prepayment contained in section 5-2-211 on the
123		-	date of refinancing; except that, for the purpose of computing this amount,
124		-	no
125		-	A minimum FINANCE charge described in section 5-2-201 shall be OF NO
126		-	MORE THAN TEN DOLLARS IS
127		-	allowed IF CONTRACTED WITH THE CONSUMER
128		-	IN THE LOAN AGREEMENT
129		-	.
	125	+	19
	126	+	CARDS.20
	127	+	SECTION 2. In Colorado Revised Statutes, 5-2-214, amend (1),21
	128	+	(2), (3), (5), and (8); repeal (4); and add (5.5) as follows:22
	129	+	5-2-214. Alternative charges for loans not exceeding one23
	130	+	thousand dollars. (1) For a consumer loan where the amount financed24
	131	+	is not more than one thousand dollars, a supervised lender may charge, in25
	132	+	lieu of the loan finance charges permitted by section 5-2-201, the26
	133	+	following finance charges:27
	134	+	1229
	135	+	-3- (a) An acquisition charge for making the original loan OR ANY1
	136	+	REFINANCED LOAN, not to exceed ten EIGHT percent of the amount2
	137	+	financed;
	138	+	AND3
	139	+	(a.5) An acquisition charge for making any refinanced loan, not
	140	+	4
	141	+	to exceed seven and one-half percent of the amount financed; and5
	142	+	(b) A monthly installment account handling charge, not to exceed6
	143	+	the following amounts:7
	144	+	Amount financedPer month charge8
	145	+	$100.00 - $300$12.50 $8.509
	146	+	$300.01 - $500$15.00 $11.5010
	147	+	$500.01 - $750$17.50 $14.5011
	148	+	$750.01 - $1,000$20.00 $17.5012
	149	+	(2) The minimum term of a loan made pursuant to this section13
	150	+	shall be ninety days IS SIX MONTHS. The maximum term of a loan made14
	151	+	pursuant to this section shall be IS twelve months. All loans shall be15
	152	+	scheduled to be payable in substantially equal installments at equal16
	153	+	periodic intervals.17
	154	+	(3) On a loan subject to the alternative charges authorized by this18
	155	+	section, no other finance charge or any other charge or fee is permitted19
	156	+	except as specifically provided for in this section and except for the20
	157	+	delinquency charges provided for in section 5-2-203, reasonable attorney21
	158	+	fees provided for in section 5-5-112 and the fee for a dishonored check22
	159	+	provided for in section 5-2-202 (1)(e)(II).23
	160	+	(4) The acquisition charge authorized in this section shall be fully24
	161	+	earned at the time the loan is made and shall not be subject to refund;25
	162	+	except that, if the loan is prepaid in full, refinanced, or consolidated26
	163	+	within the first sixty days, the first ten dollars of the acquisition charge27
	164	+	1229
	165	+	-4- shall be retained by the lender and the remainder of the acquisition charge1
	166	+	shall be refunded at a rate of one-sixtieth of the remainder of the2
	167	+	acquisition charge per day, beginning on the day after the date of the3
	168	+	prepayment, refinancing, or consolidation and ending on the sixtieth day4
	169	+	after the loan was made.5
	170	+	(5) Upon the prepayment of a loan made pursuant to this section,6
	171	+	the unearned portion of the installment account ACQUISITION CHARGE AND7
	172	+	THE TOTAL MONTHLY INSTALLMENT handling charge shall be refunded to8
	173	+	the consumer. The unearned portion of the installment account handling9
	174	+	charge that is refunded THESE CHARGES shall be calculated pursuant to the10
	175	+	provisions on rebate upon prepayment contained in section 5-2-211 on the11
	176	+	date of refinancing; except that, for the purpose of computing this12
	177	+	amount, no A minimum FINANCE charge described in section 5-2-20113
	178	+	shall be OF NO MORE THAN TEN DOLLARS IS allowed IF CONTRACTED WITH14
	179	+	THE CONSUMER IN THE LOAN AGREEMENT .15
130	180		(5.5) (a) A
131		-	LENDER SHALL REQUIRE A CONSUMER TO FILL OUT A LOAN
132		-	APPLICATION FOR EVERY LOAN UNDER THIS SECTION AND SHALL MAINTAIN
133		-	THE APPLICATION ON FILE
134		-	. THE APPLICATION MUST BE SIGNED AND DATED
135		-	BY THE CONSUMER
136		-	.
	181	+	LENDER SHALL REQUIRE A CONSUMER TO FILL OUT A16
	182	+	LOAN APPLICATION FOR EVERY LOAN UNDER THIS SECTION AND SHALL17
	183	+	MAINTAIN THE APPLICATION ON FILE. THE APPLICATION MUST BE SIGNED18
	184	+	AND DATED BY THE CONSUMER .19
137	185		(b) A
138		-	LENDER SHALL REQUIRE THE CONSUMER TO PROVIDE A PAY
139		-	STUB OR OTHER EVIDENCE OF INCOME IN EVERY APPLICATION FOR A LOAN
140		-	UNDER THIS SECTION AND SHALL MAINTAIN THIS APPLICATION ON FILE
141		-	. THE
142		-	PAY STUB OR OTHER EVIDENCE OF INCOME MUST HAVE BEEN ISSUED OR
143		-	DATED WITHIN FORTY
144		-	-FIVE DAYS BEFORE THE DATE OF THE APPLICATION. IF
145		-	A LENDER REQUIRES A CONSUMER TO PRESENT A BANK STATEMENT TO
146		-	SECURE A LOAN
147		-	, THE LENDER SHALL ALLOW THE CONSUMER TO DELETE
148		-	FROM THE STATEMENT THE INFORMATION REGARDING TO WHOM THE DEBITS
149		-	LISTED ON THE STATEMENT WERE PAYABLE
150		-	. IF THE AMOUNT BORROWED IS
151		-	NOT MORE THAN TWENTY
152		-	-FIVE PERCENT OF THE CONSUMER 'S MONTHLY
153		-	GROSS INCOME AND BENEFITS
154		-	, AS EVIDENCED BY A PAYCHECK STUB OR
155		-	OTHERWISE SUBSTANTIATED
156		-	, A LENDER IS NOT OBLIGATED TO INVESTIGATE
157		-	THE CONSUMER
158		-	'S CONTINUED DEBT POSITION, AND THE CONSUMER'S ABILITY
159		-	TO REPAY THE LOAN NEED NOT BE FURTHER DEMONSTRATED
160		-	.
	186	+	LENDER SHALL REQUIRE THE CONSUMER TO PROVIDE A PAY20
	187	+	STUB OR OTHER EVIDENCE OF INCOME IN EVERY APPLICATION FOR A LOAN21
	188	+	UNDER THIS SECTION AND SHALL MAINTAIN THIS APPLICATION ON FILE .22
	189	+	T
	190	+	HE PAY STUB OR OTHER EVIDENCE OF INCOME MUST HAVE BEEN ISSUED23
	191	+	OR DATED WITHIN FORTY -FIVE DAYS BEFORE THE DATE OF THE24
	192	+	APPLICATION. IF A LENDER REQUIRES A CONSUMER TO PRESENT A BANK25
	193	+	STATEMENT TO SECURE A LOAN , THE LENDER SHALL ALLOW THE26
	194	+	CONSUMER TO DELETE FROM THE STATEMENT THE INFORMATION27
	195	+	1229
	196	+	-5- REGARDING TO WHOM THE DEBITS LISTED ON THE STATEMENT WERE1
	197	+	PAYABLE. IF THE AMOUNT BORROWED IS NOT MORE THAN TWENTY -FIVE2
	198	+	PERCENT OF THE CONSUMER'S MONTHLY GROSS INCOME AND BENEFITS , AS3
	199	+	EVIDENCED BY A PAYCHECK STUB OR OTHERWISE SUBSTANTIATED , A4
	200	+	LENDER IS NOT OBLIGATED TO INVESTIGATE THE CONSUMER 'S CONTINUED5
	201	+	DEBT POSITION, AND THE CONSUMER'S ABILITY TO REPAY THE LOAN NEED6
	202	+	NOT BE FURTHER DEMONSTRATED .7
161	203		(c) I
162		-	F A LENDER COMPLIES WITH THE REQUIREMENTS OF SUBSECTIONS
163		-	(5.5)(a) AND (5.5)(b) OF THIS SECTION, AND THE LOAN OTHERWISE COMPLIES
164		-	WITH THIS ARTICLE
165		-	2 AND OTHER APPLICABLE LAW , NEITHER THE
166		-	CONSUMER
167		-	'S INABILITY TO REPAY THE LOAN NOR THE LENDER'S DECISION TO
168		-	OBTAIN OR NOT OBTAIN ADDITIONAL INFORMATION CONCERNING THE
169		-	CONSUMER
170		-	'S CREDITWORTHINESS SHALL BE CAUSE TO DETERMINE THAT A
171		-	PAGE 4-HOUSE BILL 23-1229 LOAN IS UNCONSCIONABLE.
172		-	(8) A lender may not refinance a loan made pursuant to this section
173		-	more than three times ONCE in one year.
174		-	SECTION 3. In Colorado Revised Statutes, add 5-13-106 as
175		-	follows:
	204	+	F A LENDER COMPLIES WITH THE REQUIREMENTS OF8
	205	+	SUBSECTIONS (5.5)(a) AND (5.5)(b) OF THIS SECTION, AND THE LOAN9
	206	+	OTHERWISE COMPLIES WITH THIS ARTICLE 2 AND OTHER APPLICABLE LAW,10
	207	+	NEITHER THE CONSUMER 'S INABILITY TO REPAY THE LOAN NOR THE11
	208	+	LENDER'S DECISION TO OBTAIN OR NOT OBTAIN ADDITIONAL INFORMATION12
	209	+	CONCERNING THE CONSUMER 'S CREDITWORTHINESS SHALL BE CAUSE TO13
	210	+	DETERMINE THAT A LOAN IS UNCONSCIONABLE .14
	211	+	(8) A lender may not refinance a loan made pursuant to this15
	212	+	section more than three times
	213	+	ONCE in one year.16
	214	+	SECTION 3. In Colorado Revised Statutes, add 5-13-106 as17
	215	+	follows:18
176	216		5-13-106. Other loans - legislative declaration. I
177		-	N ACCORDANCE
178		-	WITH SECTION
179		-	525 OF THE FEDERAL "DEPOSITORY INSTITUTIONS
180		-	DEREGULATION AND MONETARY CONTROL ACT OF 1980", PUB.L. 96-221,
181		-	THE GENERAL ASSEMBLY DECLARES THAT THE STATE OF COLORADO DOES
182		-	NOT WANT THE AMENDMENTS TO THE
183		-	"FEDERAL DEPOSIT INSURANCE ACT",
184		-	12
185		-	U.S.C. SEC. 1811 ET SEQ.; THE FEDERAL "NATIONAL HOUSING ACT", 12
186		-	U.S.C.
187		-	SEC. 1701 ET SEQ.; AND THE "FEDERAL CREDIT UNION ACT", 12
188		-	U.S.C.
189		-	SEC. 1757, MADE BY SECTIONS 521 TO 523 OF THE FEDERAL
190		-	"DEPOSITORY INSTITUTIONS DEREGULATION AND MONETARY CONTROL
191		-	ACT OF 1980", PUB.L. 96-221, PRESCRIBING INTEREST RATES AND
192		-	PREEMPTING STATE INTEREST RATES TO APPLY TO CONSUMER CREDIT
193		-	TRANSACTIONS IN THIS STATE
194		-	. THE RATES ESTABLISHED IN ARTICLES 1 TO 9
195		-	OF THIS TITLE 5 CONTROL CONSUMER CREDIT TRANSACTIONS IN THIS STATE .
196		-	SECTION 4. In Colorado Revised Statutes, 5-1-107, amend (1) as
197		-	follows:
198		-	5-1-107. Effect of code on powers of organizations. (1) This code
199		-	prescribes maximum charges for all creditors extending consumer credit
200		-	except lessors and those excluded in sections 5-1-202 and 5-2-213 (2)(b)
201		-	and displaces existing limitations on the powers of those creditors based on maximum charges.
202		-	SECTION 5. In Colorado Revised Statutes, 5-1-303, amend the
203		-	"Credit card bank or financial institution" line as follows:
204		-	5-1-303. Index of definitions in code. Definitions in this code and
205		-	the sections in which they appear are:
206		-	"Credit card bank or
207		-	financial institution" section 5-2-213 (1)
208		-	SECTION 6. Effective date - applicability. (1) Except as
209		-	PAGE 5-HOUSE BILL 23-1229 otherwise provided in this section, this act takes effect on passage.
210		-	(2) Sections 1, 4, and 5 of this act take effect July 1, 2024, and apply
211		-	to consumer credit transactions made or renewed on or after July 1, 2024.
212		-	(3) Section 2 of this act takes effect January 1, 2024, and applies to
213		-	consumer credit transactions made or renewed on or after January 1, 2024.
214		-	(4) Section 3 of this act takes effect July 1, 2024, and applies to
215		-	consumer credit transactions made or renewed on or after July 1, 2024.
216		-	SECTION 7. Safety clause. The general assembly hereby finds,
217		-	PAGE 6-HOUSE BILL 23-1229 determines, and declares that this act is necessary for the immediate
218		-	preservation of the public peace, health, or safety.
219		-	____________________________ ____________________________
220		-	Julie McCluskie Steve Fenberg
221		-	SPEAKER OF THE HOUSE PRESIDENT OF
222		-	OF REPRESENTATIVES THE SENATE
223		-	____________________________ ____________________________
224		-	Robin Jones Cindi L. Markwell
225		-	CHIEF CLERK OF THE HOUSE SECRETARY OF
226		-	OF REPRESENTATIVES THE SENATE
227		-	APPROVED________________________________________
228		-	(Date and Time)
229		-	_________________________________________
230		-	Jared S. Polis
231		-	GOVERNOR OF THE STATE OF COLORADO
232		-	PAGE 7-HOUSE BILL 23-1229
	217	+	N ACCORDANCE19
	218	+	WITH SECTION 525 OF THE FEDERAL "DEPOSITORY INSTITUTIONS20
	219	+	D
	220	+	EREGULATION AND MONETARY CONTROL ACT OF 1980", PUB.L. 96-221,21
	221	+	THE GENERAL ASSEMBLY DECLARES THAT
	222	+	THE STATE OF COLORADO DOES22
	223	+	NOT WANT THE AMENDMENTS TO THE "FEDERAL DEPOSIT INSURANCE23
	224	+	A
	225	+	CT", 12 U.S.C. SEC. 1811 ET SEQ.; THE FEDERAL "NATIONAL HOUSING24
	226	+	A
	227	+	CT", 12 U.S.C. SEC. 1701 ET SEQ.; AND THE "FEDERAL CREDIT UNION25
	228	+	A
	229	+	CT", 12 U.S.C. SEC. 1757, MADE BY SECTIONS 521 TO 523 OF THE26
	230	+	FEDERAL "DEPOSITORY INSTITUTIONS DEREGULATION AND MONETARY27
	231	+	1229
	232	+	-6- CONTROL ACT OF 1980", PUB.L. 96-221, PRESCRIBING INTEREST RATES1
	233	+	AND PREEMPTING STATE INTEREST RATES TO APPLY TO CONSUMER CREDIT2
	234	+	TRANSACTIONS IN THIS STATE. THE RATES ESTABLISHED IN ARTICLES 1 TO3
	235	+	9
	236	+	OF THIS TITLE 5 CONTROL CONSUMER CREDIT TRANSACTIONS IN THIS4
	237	+	STATE.5
	238	+	SECTION 4. In Colorado Revised Statutes, 5-1-107, amend (1)
	239	+	6
	240	+	as follows:7
	241	+	5-1-107. Effect of code on powers of organizations. (1) This8
	242	+	code prescribes maximum charges for all creditors extending consumer9
	243	+	credit except lessors and those excluded in sections 5-1-202 and 5-2-21310
	244	+	(2)(b) and displaces existing limitations on the powers of those creditors11
	245	+	based on maximum charges.12
	246	+	SECTION 5. In Colorado Revised Statutes, 5-1-303, amend the13
	247	+	"Credit card bank or financial institution" line as follows:14
	248	+	5-1-303. Index of definitions in code. Definitions in this code15
	249	+	and the sections in which they appear are:16
	250	+	"Credit card bank or17
	251	+	financial institution" section 5-2-213 (1)18
	252	+	SECTION 6. Effective date - applicability. (1) Except as19
	253	+	otherwise provided in this section, this act takes effect on passage.20
	254	+	(2) Sections 1, 4, and 5 of this act take effect July 1, 2024, and21
	255	+	apply to consumer credit transactions made or renewed on or after July 1,22
	256	+	2024. 23
	257	+	(3) Section 2 of this act takes effect January 1, 2024, and applies24
	258	+	to consumer credit transactions made or renewed on or after January 1,25
	259	+	2024. 26
	260	+	(4) Section 3 of this act takes effect July 1, 2024, and applies to27
	261	+	1229
	262	+	-7- consumer credit transactions made or renewed on or after July 1, 2024.1
	263	+	SECTION 7. Safety clause. The general assembly hereby finds,2
	264	+	determines, and declares that this act is necessary for the immediate3
	265	+	preservation of the public peace, health, or safety. 4
	266	+	1229
	267	+	-8-