WeVote
Log In

Bill

Bill

SB 172

AN ACT RELATING TO COMMERCIAL LAW -- GENERAL REGULATORY PROVISIONS -- INTEREST AND USURY

2025 Regular Session Introduced by Pete Appollonio and 9 co-sponsors

SB 172 revises Rhode Island usury and commercial lending laws, adjusting interest rate regulations and lending terms that take effect after governor's signature on June 26, 2025.

06/26/2025 Signed by Governor
0
WeVote Research Nonpartisan
Bill Summary · SB 172

Legislative bill overview

SB 172 modifies Rhode Island's usury laws and commercial lending regulations, adjusting how interest rates and lending terms are governed for various types of commercial transactions. The bill has passed both chambers and was signed into law on June 26, 2025, indicating broad legislative support across party lines.

Why is this important

Usury laws directly affect borrowing costs for small businesses, consumers, and commercial entities throughout Rhode Island. Changes to these regulations can influence access to credit, the competitiveness of local lending markets, and compliance burdens on financial institutions operating in the state.

Potential points of contention

  • Interest rate caps: Modifications to maximum allowable interest rates could either expand access to credit for riskier borrowers or potentially disadvantage lenders, depending on which direction rates were adjusted
  • Small business impact: Changes may disproportionately affect small businesses' ability to secure loans or could alter pricing for existing borrowers
  • Compliance complexity: New regulatory provisions may increase administrative costs for lenders, potentially passed on to consumers through higher fees or stricter lending standards

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.