Tennessee Legislator Crafting Repo Agency Regulation
Repo agencies are already regulated in California and Florida. And Illinois just passed a new law this year.
Could Tennessee be next? Apparently, a legislator in the Volunteer State is preparing to bring a measure before the state’s General Assembly.
State Rep. G.A. Hardaway serves constituents near Memphis, Tenn., a section of Tennessee he believes is especially prone to high levels of vehicle repossessions because of ongoing poverty.
Hardaway told WMC-TV the absence of repo industry regulations in the state “impacts people’s pocketbooks.
“When repos go wrong, everyone eventually pays the price in higher fees and interest rates,” he continued. “It needs to be regulated."
Hardaway is drafting a bill that would require repo agencies to obtain Tennessee Department of Commerce and Insurance licenses.
Hardaway thinks that “with the licensing, comes the oversight and the monitoring.”
The legislator’s early draft says this permit would require background checks, training and permit fees to perform repossessions.
Hardaway indicated to the Memphis TV station that he will meet with fellow lawmakers to finalize the language of the bill.
“Hopefully, we’ll be able to put something together that will keep the consumer protected and allow the employees of these companies to still do their jobs,” Hardaway acknowledged.
The TV station’s report stated it is unclear when the bill would actually hit the floor of the General Assembly.
For the original WMC-TV story, visit this site.