Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Third State Legislature

Regular Session of 2006

State of Hawaii

Sir:

Your Committee on Judiciary, to which was referred H.B. No. 2968 entitled:

begs leave to report as follows:

The purpose of this bill is to even the playing field between lenders with in-state credit card businesses and those with out-of-state credit card businesses by providing that the 18 percent limit on credit card interest only applies to the simple interest numeric periodic rate and does not apply to credit card fees.

The Hawaii Bankers Association testified in support of this bill. The Hawaii Financial Services Association supported the intent of this measure.

Your Committee has amended this bill by making technical, nonsubstantive amendments for clarity, consistency, and style.

As affirmed by the record of votes of the members of your Committee on Judiciary that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2968, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 2968, H.D. 1.