Louisiana 2024 Regular Session

Louisiana House Bill HB914

Introduced
4/2/24  
Introduced
4/2/24  
Refer
4/3/24  

Caption

Provides relative to practices of financial institutions to provide or deny services

Impact

If enacted, HB 914 could substantially alter the regulatory landscape for financial institutions in Louisiana. By enforcing stricter definitions of discrimination and prohibiting reliance on non-quantitative risk factors in service provision, the bill seeks to foster a more equitable financial environment. However, it also creates potential vulnerabilities by challenging the current operational frameworks of these institutions, which may need to adapt their risk assessment processes to align with the new regulations. This could lead to increased operational costs as these institutions make necessary adjustments to comply with the law.

Summary

House Bill 914 introduces significant prohibitions against financial institutions, mandating that they cannot deny or cancel services based on various personal attributes, including political opinions and religious beliefs. This bill aims to protect individuals from discrimination by requiring financial institutions to base service decisions on quantitative and impartial risk factors rather than subjective criteria. It defines discriminatory practices and introduces accountability by mandating annual compliance attestations from financial institutions to ensure adherence to these standards.

Sentiment

The sentiment surrounding HB 914 is mixed, with proponents emphasizing the need for regulatory protections against discriminatory practices in financial services. Supporters argue that the bill is essential for safeguarding consumer rights and fostering inclusivity in financial dealings. Conversely, critics raise concerns about the feasibility of enforcing such regulations. They argue that the requirement for financial institutions to avoid reliance on subjective criteria could complicate existing risk assessment protocols, potentially resulting in unintended consequences for both lenders and borrowers. Thus, the debate reflects a deeper tension between consumer protection and operational flexibility in financial services.

Contention

Notably contentious points within the discussions around HB 914 include the implications of banning service decisions based on social credit scores, which some financial institutions currently utilize for risk assessment. Opponents argue that completely banning these practices may hinder the ability to evaluate creditworthiness effectively. Additionally, the requirement for annual compliance attestations raises questions about the administrative burdens placed on financial institutions, sparking a debate on whether the benefits of the bill outweigh the potential complications it may introduce into the regulatory framework.

Companion Bills

No companion bills found.

Previously Filed As

LA SB128

Provides relative to certain practices of public postsecondary institutions. (8/1/23) (OR NO IMPACT See Note)

LA SB185

Provides relative to the licensing and regulation of virtual businesses. (8/1/23) (EN NO IMPACT See Note)

LA SB199

Provides relative to the protection of data.

LA HB642

Provides relative to sales and use taxation of certain digital products and services (EG INCREASE GF RV See Note)

LA SB66

Provides relative to telehealth services. (1/1/24) (EN NO IMPACT See Note)

LA HB74

Provides relative to home inspectors

LA HB597

Provides for a portal to provide comprehensive financial and other information to the public (EN -$3,500,000 GF RV See Note)

LA HB529

Provides relative to pharmacy benefit manager services provided to the office of group benefits (EG INCREASE SG EX See Note)

LA HB283

Provides relative to employment practices related to wage history, wage disclosure, and retaliation

LA HB40

Provides relative to employment discrimination based on gender identity and sexual orientation

Similar Bills

CA AB850

Institutional Debt Transparency Act.

TX SB174

Relating to accountability of institutions of higher education, including educator preparation programs, and online institution resumes for public institutions of higher education.

CA AB1344

Private postsecondary education: California Private Postsecondary Act of 2009.

NJ S3566

Revises calculation of student financial need and provides circumstances for reduction of financial aid at institutions of higher education and proprietary institutions.

NJ A3422

Revises calculation of student financial need and provides circumstances for reduction of financial aid at institutions of higher education and proprietary institutions.

NJ A5181

Revises calculation of student financial need and provides circumstances for reduction of financial aid at institutions of higher education and proprietary institutions.

CA AB70

Private postsecondary education: California Private Postsecondary Education Act of 2009.

CA AB3167

California Private Postsecondary Education Act of 2009: highly qualified private nonprofit institution.