Bill Text: NJ S2609 | 2012-2013 | Regular Session | Introduced
Bill Title: Concerns interest rate chargeable by licensed pawnbrokers on certain transactions.
Spectrum: Bipartisan Bill
Status: (Passed) 2014-01-17 - Approved P.L.2013, c.213. [S2609 Detail]
Download: New_Jersey-2012-S2609-Introduced.html
Sponsored by:
Senator GERALD CARDINALE
District 39 (Bergen and Passaic)
SYNOPSIS
Concerns interest rate chargeable by licensed pawnbrokers on certain transactions.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning pawnbrokers and amending R.S.45:22-22.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. R.S.45:22-22 is amended to read as follows:
45:22-22. Notwithstanding the provisions of N.J.S.2C:21-19 to the contrary, a pawnbroker shall not charge or receive interest on a loan in excess of [3.7%] 4.5% per month or a fraction thereof, except that he may charge [$1.00] $1.50 where the interest herein amounts to less. In no event shall any other charges be made for any reason whatsoever, except as permitted by the Commissioner of Banking and Insurance.
(cf: P.L.2001, c.388, s.2)
2. This act shall take effect on the first day of the fourth month next following the date of enactment.
STATEMENT
This bill increases the rate of interest that a licensed pawnbroker may charge per month with respect to pledge transactions from the current rate of 3.7% to 4.5% and increases the minimum charge for these transactions from $1.00 to $1.50. These amounts were last increased more than 10 years ago.
