H-1107.1 _______________________________________________
HOUSE BILL 1430
_______________________________________________
State of Washington 56th Legislature 1999 Regular Session
By Representatives Sullivan, Lantz, Dunshee, Pennington and Keiser
Read first time 01/25/1999. Referred to Committee on Financial Institutions & Insurance.
AN ACT Relating to credit card late fees; and creating a new section.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:
NEW SECTION. Sec. 1. (1) The legislature finds that the use of credit cards is an important tool for consumers in today's economy. The legislature also finds that credit card companies are in a superior bargaining position when marketing credit cards to Washington consumers. The imposition of monthly late fees, in addition to collecting interest, concerns the legislature as possibly excessive profits at the expense of Washington consumers, particularly when there is little or no grace period before the late fee is assessed.
(2) A credit card company may not impose a late fee on the credit card of a Washington consumer when the monthly payment is mailed on or before the payment due date as shown by the post office cancellation mark stamped on the envelope.
(3) As used in this section:
(a) "Credit card company" means a state or federally chartered bank, trust company, savings bank, or credit union, or other entity, located in or outside Washington state, that issues credit cards to Washington residents or services these credit cards.
(b) "Credit card" means a card or device existing for the purpose of obtaining money, property, labor, or services on credit.
(4) Credit card companies shall disclose to Washington consumers subsection (2) of this section consistent with federal law.
NEW SECTION. Sec. 2. If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected.
--- END ---