The Banking & Consumer Affairs Subcommittee voted to advance House Bill 775, which raises acquisition charges on two categories of consumer loans, to the full Commerce Committee.

The bill, presented by Chairman Powers (former committee chair), proposes to raise the acquisition charge on Class A loans from 10% to 12% and to increase the Class B rate from 34% to 36%. Powers said the last increase for Class A occurred in 2012 and the last Class B change was in 2017. "The increase will support improved service and access to credit for underserved and unbanked populations," Powers said.

Committee members asked for clarification about the differences between Class A and Class B loans. Mr. Swanson (staff) explained that Class A generally refers to traditional loans not subject to a dollar cap, while Class B often has a $2,000 cap and relies more on debt‑to‑income factors.

After brief questions and no substantive amendments, committee members voted. The clerk reported four ayes; the chair announced the bill advances to full commerce. No vote roll call with individual names was recorded in the transcript.