,,ii  #aafth ,,congress  #ast ,session  
,s4 #achi  ,,in ,,the ,,senate ,,of     
,,the ,,united ,,states  ,may #i1       
#bjai,mr4 ,sanders 7for himself and ,mr4
 ,whitehouse7 introduced the following  
bill2 which was read twice and referred 
to the ,committee on ,banking1 ,housing1
 and ,urban ,affairs  ,a ,,bill  ,to    
protect consumers from usury4  #a4      
,short title ,this ,act may be cited as 
the ,loan ,shark ,prevention ,act4  #b4 
,interest rate reduction  7a7 ,national 
consumer credit usury rate ,section #ajg
 of the ,truth in ,lending ,act 7#ae    
,u4,s4,c4 #afjf7 is amended by adding at
 the end the following new subsection3  
7f7 ,national consumer credit usury rate
  7#a7 ,limitation established  7,a7 ,in
 general ,notwithstanding subsection 7a7
 or any other provision of law1 but     
except as provided in paragraph 7#b71   
the annual percentage rate applicable to
 any extension of credit may not exceed 
the lesser of-- 7i7 #ae percent on      
unpaid balances1 inclusive of all       

finance charges2 or  7ii7 the maximum   
rate permitted by the laws of the ,state
 in which the consumer resides4  7,b7   
,other fees ,any fees that are not      
considered finance charges under section
 #ajf7;a7 may not be used to evade the  
limitations of this paragraph1 and the  
total sum of such fees may not exceed   
the total amount of finance charges     
assessed4  7#b7 ,exceptions  7,a7 ,board
 authority ,the ,board may establish1   
after consultation with the appropriate 
committees of ,congress1 the ,secretary 
of the ,treasury1 and any other         
interested ,federal financial           
institution regulatory agency1 an annual
 percentage rate of interest ceiling    
exceeding the #ae-percent annual rate   
under paragraph 7#a7 for periods of not 
to exceed #ah months1 upon a            
determination that-- 7i7 money market   
interest rates have risen over the      
preceding #f-month period2 and  7ii7    
prevailing interest rate levels threaten
 the safety and soundness of individual 

lenders1 as evidenced by adverse trends 
in liquidity1 capital1 earnings1 and    
growth4  7,b7 ,treatment of credit      
unions ,the limitation in paragraph 7#a7
 does not apply with respect to any     
extension of credit by an insured credit
 union1 as that term is defined in      
section #aja of the ,federal ,credit    
,union ,act 7#ab ,u4,s4,c4 #ageb74  7#c7
 ,penalties for charging higher rates   
7,a7 ,violation ,the taking1 receiving1 
reserving1 or charging of an annual     
percentage rate or fee greater than that
 permitted by paragraph 7#a71 when      
knowingly done1 shall be deemed a       
violation of this title1 and a          
forfeiture of the entire interest which 
the note1 bill1 or other evidence of the
 obligation carries with it1 or which   
has been agreed to be paid thereon4     
7,b7 ,refund of interest amounts ,if an 
annual percentage rate or fee greater   
than that permitted under paragraph 7#a7
 has been paid1 the person by whom it   
has been paid1 or the legal             

representative thereof1 may1 by bringing
 an action not later than #b years after
 the date on which the usurious         
collection was last made1 recover back  
from the lender in an action in the     
nature of an action of debt1 the entire 
amount of interest1 finance charges1 or 
fees paid4  7#d7 ,civil liability ,any  
creditor who violates this subsection   
shall be subject to the provisions of   
section #acj4  7g7 ,relation to ,state  
law ,nothing in this section may be     
construed to preempt any provision of   
,state law that provides greater        
protection to consumers than is provided
 in this section4  4  7b7 ,civil        
liability conforming amendment ,section 
#acj7;a7 of the ,truth in ,lending ,act 
7#ae ,u4,s4,c4 #afdj7;a77 is amended by 
inserting section #ajg7;f71 before this 
chapter4