We Support
U.S. Senator Charles E. Schumer and the Rent-To-Own Reform Act of 2007 - Amends the Consumer Credit Protection Act to prohibit a seller in a rent-to-own transaction from receiving or assessing any interest, finance charge, or other fee for the transaction that exceeds the interest, fees, or finance charges permissible under the laws of the state in which the seller is located which establish:
(1) a maximum rate or amount of interest, finance charge, or time-price differential that may be charged in connection with a credit sale or retail installment sale for the same or a similar item;
(2) the types of fees and the maximum amount of fees that a seller may so charge; or
(3) the types of credit insurance and the maximum amount of premiums that can be charged for credit insurance in such a connection. Permits certain additional termination charges and fees. Cites federal laws which are applicable to a rent-to-own transaction. Sets forth required disclosures, prohibitions, and enforcement, as well as civil liability for failure to properly disclose the terms of a rent-to-own transaction. Declares this Act inapplicable to certain motor vehicles sales and leases otherwise subject to the Truth in Lending Act.
Even with broad bipartisan support, the Rental Purchase Act faces an uphill battle in the House.
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| Rep. Maloney with Senators Kennedy (R) and Schumer (L) at a Joint Economic Committee Hearing. |
U.S. Representatives Tim Johnson (R-IL), Danny Davis (D-IL) and Michele Bachmann (R-MN)announced their support of the (H.R. 1767) Tuesday, bringing the total House cosponsor count to 89. The Act defines Rent to Own agreements as a lease and clearly defines disclosure requirements.
Even with broad bipartisan support, the Rental Purchase Act faces an uphill battle in the House. The bill remains bottled up since being submitted to the Financial Institutions and Consumer Credit subcommittee, led by Chair Carolyn B. Maloney (D-NY), in June 2007. Maloney has a history of being heavily influenced by consumer groups like PIRG and has given no indication whether or not a hearing will be scheduled before the current Congressional session ends. Republican Tim Johnson is in his fourth term and serves on the House Agriculture and Transportation committees. Born in 1946, Johnson has a long history of public service, beginning his political career in 1971 by winning a seat on the Urbana City Council. In 1976, Johnson won a seat in the Illinois House by besting five other Republicans in a tough primary. Johnson held that seat in the Statehouse for more than two decades; he resigned as State Representative from the 104th District on November 13, 2000 one week after being elected to the United States House of Representatives to serve the 15th District of Illinois.
Republican Michele Bachman is a freshman Representative from Minnesota's 6th congressional district. Bachmann serves on the House Financial Services Committee, an unusually powerful position for a freshman and the committee of jurisdiction for the Rental Purchase Agreement Act. A six year veteran of the Minnesota State Senate, Bachmann is widely known around the state as a strong fiscal and social conservative. Much of her work in the Senate focused on working to cut government spending. Bachmann was the chief sponsor of the Taxpayers' Bill of Rights.Danny Davis is a six term Democrat representing Illinois' 7th district. He serves on the House Education and Labor, and Oversight and Government Reform committees. A popular Congressman, Davis won 87% of the vote in his last election. Davis is a member of the Congressional Black Caucus and is a Regional Whip in the Democratic Caucus. Prior to becoming a Member of Congress he served on the Cook County Board of Commissioners for six years. Previously, he served for eleven years as a member of the Chicago City Council as Alderman of the 29th Ward
Congressman Davis is a member of the Congressional Black Caucus and is a Regional Whip in the Democratic Caucus. Prior to becoming a Member of Congress he served on the Cook County Board of Commissioners for six years. Previously, he served for eleven years as a member of the Chicago City Council as Alderman of the 29th Ward.
There are currently 89 US Representatives and 21 Senators in the 110th Congress supporting federal legislation regulating the rent to own industry.
The Senate version of Consumer Rental-Purchase Agreement Acthas not had a new cosponsor since November, 2007 when Nebraska Republican Chuck Hagel announced his support of the bill. Democrat Senator Chuck Schumer's anti-rent-to-own-industry bill introduced in May, the Rent to own act, has no cosponsors.
There have been 19 bills introduced since 1993 that would regulate the rent to own industry at the federal level. None have passed both houses of Congress
Learn more: http://www.opencongress.org/bill/110-s1530/show http://schumer.senate.gov/
