Oklahoma Senate Bill SB793

Oklahoma 2023 Regular Session

• Introduced: 2/6/23
• Refer: 2/7/23

Caption

Uniform Consumer Credit Code; modifying provisions for percentage changes; removing the Consumer Credit Advisory Committee. Emergency.

Impact

The bill impacts state laws by redefining the process by which dollar amounts related to consumer finance transactions are calculated. By removing the Consumer Credit Advisory Committee, the bill centralizes authority, giving the Commission on Consumer Credit greater control over the rulemaking process. This change is intended to streamline the regulation of consumer credit and potentially reduce administrative burdens. The amendment concerning CPI adjustments may benefit consumers by providing clearer, more predictable changes in dollar amounts associated with credit transactions without being subject to fluctuating percentages based on variable economic conditions.

Summary

Senate Bill 793, introduced in the 1st Session of the 59th Legislature of Oklahoma, amends certain provisions of the Uniform Consumer Credit Code. The primary focus of the bill is to update how dollar amounts under the Code are adjusted based on the Consumer Price Index (CPI) for Urban Wage Earners and Clerical Workers. This adjustment ensures that the monetary amounts relevant to consumer credit transactions remain relevant and reflect current economic conditions. Notably, the bill proposes reverting to a previous year's CPI and eliminates specific provisions that allow for percentage changes under certain conditions.

Contention

One notable point of contention surrounding SB793 is the removal of the Consumer Credit Advisory Committee, which provided stakeholder insights into the regulatory process. Critics could argue that losing this advisory body may reduce consumer representation in financial regulatory decisions, making the regulatory framework more opaque. Further, by allowing adjustments to the dollar values using prior CPI figures, there may be concerns about the adequacy of these adjustments in light of changing economic conditions, potentially affecting the protections afforded to consumers under the Uniform Consumer Credit Code.