On March 22, 2018, the Governor of West Virginia signed into law HB 3143, which amends select provisions of the West Virginia Consumer Credit Protection Act (WVCCPA).  First, the Bill amends section 46A-4-101 to clarify that the licensing provisions of the WVCCPA do not apply to any “collection agency” as defined by the Collection Agency Act of 1973, W. Va. Code. §§ 47-16-1 et seq.  Second, the Bill amends section 46A-4-107 by increasing the dollar threshold for certain loans to which maximum finance charges apply.  In particular, the Bill makes the following amendment to section 46A-4-107:

  1. Increases the dollar threshold for loans unsecured by real property that have a maximum finance charge of 31% from loans of $2,000 or less to loans of $3,500 or less.  W. Va. Code § 46A-4-107(2).
  2. Increases the dollar threshold for loans that have a maximum finance charge of 27% from loans greater than $2,000 and less than or equal to $10,000 to loans greater than $3,500 and less than or equal to $15,000.  The 27% maximum also applies to loans secured by real property.  W. Va. Code § 46A-4-107(3).
  3. Increases the dollar threshold for loans that have a maximum finance charge of 18% from loans greater than $10,000 to loans greater than $15,000.  W. Va. Code § 46A-4-107(3).
  4. Increases the dollar threshold for nonrevolving loans that have a maximum finance charge of not more than a total of 2% of the amount financed for any origination fee, points, or investigation fee from loans greater than $2,000 to loans greater than $3,500.  W. Va. Code § 46A-4-107(4).
  5. Increases the dollar threshold for regulated consumer loans not secured by real estate, for which a lender may, as an alternative to the finance charges allowed above, receive interest at a rate of up to 31% per year on the unpaid balance of the principal amount together with a nonrefundable loan processing fee of not more than 2% of the amount financed, from loans of $2,000 or less to loans of $3,500 or less.  W. Va. Code § 46A-4-107(7).

The effective date of these amendments is June 7, 2019.