Chap. 335.—An ACT to amend and re-enact Section 4168-a 37 of Chapter 166 Al
of the Code of Virginia entitled “Virginia Small Loan Law.”. [H B 205]

Approved March 27, 1946

Be it enacted by the General Assembly of Virginia:

1. That section forty-one hundred and sixty-eight-a, thirty-seven,
of chapter one hundred and sixty-six A one of the Code of Virginia be
amended and re-enacted as follows:

Section 4168-a 37. Maximum Rate of Charge-——(a) It shall be
the duty of the Commission to investigate from time to time the economic
conditions and other factors relating to and affecting the business of
making loans under this chapter, and to ascertain all pertinent facts
necessary to determine what maximum rate of charge should be per-
mitted. Upon the basis of such ascertained facts, and subject to the
restrictions, provisions, and limitations imposed by this law, it shall be
the duty of the Commission, and the Commission is hereby empowered, to
determine and fix by regulation or order a maximum rate of charge in
connection with such loans which will induce efficiently managed com-
mercial capital to be invested in such business in sufficient amounts to
make available adequate credit facilities to individuals seeking such loans,
and which will afford those engaged in such business a fair and reason-
able return upon the assets; provided, however, that the Commission is
not authorized to fix any such rate of charge in excess of the maximum
rate prescribed by this section prior to its amendment. Subject to such
limitation as to maximum rate, the Commission may from time to time,
upon the basis of changed conditions or facts, redetermine and refix any
such maximum rate charge, but, before determining or redetermining
any such maximum rate, the Commission shall give reasonable notice of
its intention to consider doing so to all licensees and a reasonable op-
portunity to be heard and introduce evidence with respect thereto and
such notice shall also be published once each week for two consecutive
weeks in some newspaper published in or having a general circulation in
the county, city, or town in which any small loan licensee has an office.
Any such changed maximum rate of charge shall not affect pre-existing
loan contracts lawfully entered into between any licensee and any bor-
rower.

(b) Until such time as a different rate is fixed by the Commission
in accordance with subsection (a) hereof, every licensee may contract
for and receive on any loan of money, not exceeding three hundred dol-
lars in amount, charges at a rate not exceeding two and one-half per
centum a month on the unpaid principal balance.