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On September 21, 2025, Virginia lawmakers passed a new banking law aimed at providing increased protection for consumers in the state. The new law, known as the Consumer Financial Protection Act of Virginia (CFPAV), comes as a response to the growing concerns over predatory lending practices and the need for greater oversight in the banking industry.One of the key provisions of the CFPAV is the establishment of a Consumer Financial Protection Division within the Virginia State Corporation Commission. This division will be responsible for enforcing consumer protection laws, investigating complaints, and providing resources and education to help consumers make informed financial decisions.Additionally, the CFPAV includes measures to regulate high-cost lending practices, such as payday loans and title loans. Under the new law, lenders will be required to provide clear and transparent information about the terms and conditions of these types of loans, including the total cost and annual percentage rate (APR). Lenders will also be prohibited from charging excessive fees and interest rates that could trap borrowers in a cycle of debt.Moreover, the CFPAV introduces stricter regulations on debt collection practices, prohibiting harassment, false threats, and other abusive tactics commonly used by debt collectors. The law also requires debt collectors to provide consumers with detailed information about their rights and options for resolving debts.Virginia Governor, Sarah Thompson, expressed her support for the new banking law, stating that it will help protect vulnerable consumers from financial exploitation. "The Consumer Financial Protection Act of Virginia is a significant step towards ensuring that all Virginians have access to fair and transparent financial services," Governor Thompson said in a statement.The CFPAV is set to take effect on January 1, 2026, giving banks and lenders in Virginia time to adjust to the new regulations. Lawmakers and consumer advocates hope that the legislation will set a precedent for other states to follow in strengthening consumer protections in the banking industry.