HB 2198 Would Create New Problems, Fail to Fix Small Business Concerns
Columbia, Maryland â€“ February 14, 2013: A bill in the Virginia House of Delegates would create new problems throughout the commercial credit industry while failing to address the concerns of Virginia's small businesses, according to the National Association of Credit Management (NACM). The bill, HB 2198, sets up a lose-lose proposition for businesses well beyond the borders of the "Old Dominion."
HB 2198 was recently forwarded to the Virginia Small Business Commission and would, among other provisions, require commercial credit reporting agencies to identify the source of any negative commercial information. It is a move that would immediately reduce the amount of information available to commercial trade creditors; information that helps determine a customer's creditworthiness. Open, accurate reporting of trade credit information, without fear of retaliation, is necessary for businesses to offer the financing to other businesses that drives America's business economy.