Kentucky legislation · 2026 Regular Session
Kentucky SB157: AN ACT relating to total net income limits on loans secured by a mortgage.
Status: Signed into law, April 8, 2026
Amend KRS 286.8-125 to exempt loans for which the total points and fees do not exceed the threshold set forth in 12 C.F.R. sec. 1026.43(e)(3) from total net income limits; make technical amendments; direct that the Act applies to contracts entered into on or after the effective date of the Act.
What the bill says
An act relating to total net income limits on loans secured by a mortgage.
From the introduced text:
AN ACT relating to total net income limits on loans secured by a mortgage. Be it enacted by the General Assembly of the Commonwealth of Kentucky: Section 1. KRS 286.8-125 is amended to read as follows: (1) (a) Except as provided in paragraph (b) of this subsection, it shall be unlawful for any licensee or person holding a claim of exemption to originate a loan secured by a mortgage on residential real property in Kentucky if the total net income generated by the licensee or person exceeds the greater of the or 2. Four percent (4%) of the total loan amount[, whichever is greater]. (b) Paragraph (a) of this subsection shall not apply to a loan for which the total points and fees on the loan do not exceed the threshold set forth in C.F.R. sec. 1026.43(e)(3), as amended. (2) As used in this section, unless the context requires otherwise: (a) "Total loan amount" means the amount financed in the mortgage loan less the total net income generated by or 2. Affiliate of the originating licensee or person; and (b) "Total net income": 1. Means any and all fees, income, or compensation of any kind collected, received, or charged [,] or[ by ] b. An affiliate of the licensee or person holding a claim of exemption;[. "Total net income" ] …
Sponsors
- Jason Howell (R, SD-001) · primary sponsor
Latest actions
- : signed by Governor (Acts Ch. 57)
- : delivered to Governor
- : enrolled, signed by Speaker of the House
- : enrolled, signed by President of the Senate
- : received in Senate
- : 3rd reading, passed 89-1
- : posted for passage in the Regular Orders of the Day for Friday, March 27 2026
- : 2nd reading, to Rules
- : reported favorably, 1st reading, to Calendar
- : to Banking & Insurance (H)
Votes
- House: Pass RCS# 352 (March 27, 2026): 89 yea, 1 nay, passed
- Senate: PASS SB 157 RSN# 3860 (February 26, 2026): 38 yea, 0 nay, passed
Subjects: Loans, Credit, Interest, And Usury, Real Estate, Banks And Financial Institutions
Common questions
- What is SB157?
- SB157 is a bill in the Kentucky Legislature (2026 Regular Session): AN ACT relating to total net income limits on loans secured by a mortgage.
- What does SB157 do?
- In its own words: An act relating to total net income limits on loans secured by a mortgage.
- What is the status of SB157?
- Signed into law as of April 8, 2026. Latest action: signed by Governor (Acts Ch. 57) (April 8, 2026).
- Who sponsored SB157?
- Jason Howell (R, SD-001).
- Where is the official record for SB157?
- On the Kentucky Legislature website: https://apps.legislature.ky.gov/record/26rs/sb157.html
Source: official Kentucky record. Tracked by Delilah, AI for legislation across all 50 states and Congress.