The National Community Reinvestment Coalition (NCRC) applauds the Maryland Senate’s passage of the Small Business Truth in Lending Act (SB 881) on March 20, 2026. The bill now heads to the House of Delegates and then hopefully, the governor’s desk. If the Small Business Truth in Lending Act becomes law, it will bring price transparency to Maryland small business credit transactions and allow small business owners to avoid paying unnecessary interest and fees.
This bill would save Maryland small businesses $237 million per year by allowing business owners to compare the prices of different financing options and choose lower-cost options. Hispanic business owners would save $26 million and Black business owners would save $72 million.
Maryland small business owners currently lose hundreds of millions of dollars each year due to unnecessary interest and fees for higher-cost and less-transparent credit products. In addition, business owners of color are two times more likely to be impacted by these products.
“Maryland’s small business owners deserve a fair marketplace, not financing that hides the true cost of credit. The Maryland Senate has moved to give entrepreneurs the transparency they need to compare options, avoid excessive fees and keep more money in their businesses and communities,” said Jesse Van Tol, president and CEO of NCRC. “We thank our members for their leadership in advocating for this bill, including the Responsible Business Lending Coalition, Economic Action Maryland, Baltimore Community Lending and Community Vision Solutions.”
