Lobbyists for banks and credit unions say an exemption from a state consumer-protection law is needed to prevent excessive lawsuits against financial institutions.
Missouri Credit Union Association lobbyist David Kent said during yesterday’s legislative hearing that without a change, there could be a chilling effect on loans in Missouri.
The bill the banks support would exempt them from lawsuits from the state attorney general and from civil lawsuits seeking compensation for fraud, deceptive advertising or other violations.
An official from the attorney general's office says that without the authority to enforce this state law, individual consumers would have little recourse and banks would have no incentive to work with the state to mediate disputes with consumers