Three federal credit unions have sued to block a new state law that would significantly lower the statutory interest rate on post-judgment consumer debts, saying they stood to lose millions if the measure takes effect later this month.

The proposed class-action lawsuit argued that the planned change, which would slash interest rates from 9% to 2% beginning April 30, amounted to an unconstitutional taking and due process violation for entities holding judgments against consumers.

This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.

To view this content, please continue to their sites.

Not a Lexis Subscriber?
Subscribe Now

Not a Bloomberg Law Subscriber?
Subscribe Now

Why am I seeing this?

LexisNexis® and Bloomberg Law are third party online distributors of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® and Bloomberg Law customers are able to access and use ALM's content, including content from the National Law Journal, The American Lawyer, Legaltech News, The New York Law Journal, and Corporate Counsel, as well as other sources of legal information.

For questions call 1-877-256-2472 or contact us at [email protected]