Chap. 222.—An ACT to amend, by adding two sections designated Section 19-a and
Section 19-b, and to amend, as heretofore amended, and to re-enact Section 20
of, Chapter 402 of the Acts of 1918, approved March 23, 1918, short title of
which is the “uniform small loan law”, relating to the business of making small
loans, as amended, so as to transfer the provisions as to limitations as to loans,
Acts 1940, Chapter 197, from Section 20, to a new section entitled “Section 19-a”’,
to prohibit the use of financial statements in evidence by a new section entitled
“Section 19-b”, and to re-enact Section 20 substantially as same was previous
to the amendment of 1940. [S B 67]

Approved March 14, 1942

1. Be it enacted by the General Assembly of Virginia, That chapter
our hundred and two of the Acts of nineteen hundred and eighteen, short
itle of which is the “uniform small loan law’, approved March twenty-
hird, nineteen hundred and eighteen, as amended, be amended by adding
wo sections numbered nineteen-a and nineteen-b, and that section twenty
hereof, as amended, be amended and re-enacted, all as follows:
Section 19-a. Limitations as to Loans.—No loan shall be hereafter
made under the provisions of this act the maturity date of which, that is
the final installment payment thereon if payable in installments, shall ex-
ceed twenty (20) months from the date of such loan, but nothing herein
contained shall prevent the payment of any such loan by the granting of
a new loan. Three months after the maturity date of such loan, interest
shall be computed on the principal balance at the rate of six per centum
per annum and no more.

Section 19-b. Financial Statements Not to Be Received in Evi-
dence.—No written financial statement given by any applicant for a loan,
or by any borrower, to a licensee under the uniform small loan law, shall
be received in evidence, or otherwise used, against such applicant, or bor-
rower, in any proceeding to recover the indebtedness incurred in connec-
tion with which said statement was given and shall not be used in opposi-
tion to the granting of a discharge in bankruptcy. ‘

Section 20. Citation and Construction of Act—(a) This act may
be cited as the uniform small loan law.

(b) This act shall be so interpreted and construed as to effectuate
its general remedial purposes and to make uniform the laws of those states
which enact it.