BILL REQ. #:  S-0674.1 

Read first time 01/20/11.   Referred to Committee on Financial Institutions, Housing & Insurance.

     AN ACT Relating to loans made under the consumer loan act; and reenacting and amending RCW 31.04.025.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

Sec. 1   RCW 31.04.025 and 2009 c 311 s 1 and 2009 c 120 s 3 are each reenacted and amended to read as follows:
     (1) Each loan made to a resident of this state by a licensee, or persons subject to this chapter, is subject to the authority and restrictions of this chapter, unless such loan is made under the authority of chapter 63.14 RCW.
     (2) This chapter does not apply to the following:
     (a) Any person doing business under, and as permitted by, any law of this state or of the United States relating to banks, savings banks, trust companies, savings and loan or building and loan associations, or credit unions;
     (b) Entities making loans under chapter 19.60 RCW (pawnbroking);
     (c) Entities making loans under chapter 63.14 RCW (retail installment sales of goods and services);
     (d) Entities making loans under chapter 31.45 RCW (check cashers and sellers);
     (e) Any person making ((loans)) a loan primarily for business, commercial, or agricultural purposes((, or)) unless the loan is secured by a lien on the borrower's primary residence;
     (f) Any person making loans made to government or government agencies or instrumentalities((,)) or making loans to organizations as defined in the federal truth in lending act;
     (((f))) (g) Entities making loans under chapter 43.185 RCW (housing trust fund);
     (((g))) (h) Entities making loans under programs of the United States department of agriculture, department of housing and urban development, or other federal government program that provides funding or access to funding for single-family housing developments or grants to low-income individuals for the purchase or repair of single-family housing; ((and
     (h))) (i) Nonprofit housing organizations making loans, or loans made, under housing programs that are funded in whole or in part by federal or state programs if the primary purpose of the programs is to assist low-income borrowers with purchasing or repairing housing or the development of housing for low-income Washington state residents; and
     (j) Entities making loans which are not residential mortgage loans under a credit card plan.
     (3) The director may, at his or her discretion, waive applicability of the consumer loan company licensing provisions of this chapter to other persons, not including individuals subject to the S.A.F.E. act, making loans when the director determines it necessary to facilitate commerce and protect consumers. The director may adopt rules interpreting this section.