NY lawmakers to review online lending to small businesses
ALBANY, N.Y. (AP) — New York lawmakers are reviewing how online lending may offer help to small businesses looking to get off the ground or expand.
Three different Assembly committees plan to hold a joint hearing Monday at the state Capitol on small business online lending practices.
The hearing will focus on the role of online lending in serving small business clients, and whether regulations could be amended to help business owners get the credit they need while still being protected from predatory lending practices.
After the economic downturn many small businesses found it difficult to find loans at traditional banks, leading to an increase in online lending.
Lawmakers say they want to find ways to balance the ease and flexibility of online lending with rules to ensure borrowers know what they’re getting into.