AUGUSTA – A measure prohibiting financial institutions and creditors from mailing unsolicited loan offers has received unanimous support by a legislative committee.
The bill would prohibit loan companies from mailing the solicitations, which look like an actual check. Democratic Senator Linda Valentino told the Insurance and Financial Services Committee that when people cash the check it constitutes acceptance of a loan.
She said many people were misled by the practice, especially the elderly and people experiencing financial difficulty. The bill now will go before the senate.