An Act amending the act of January 30, 1974 (P.L.13, No.6), referred to as the Loan Interest and Protection Law, in preliminary provisions, further providing for definitions; and, in protective provisions, providing for truth in lending.

HB 639 amends Pennsylvania's 1974 Loan Interest and Protection Law to require lenders to provide clear, upfront disclosures to small businesses about commercial loan terms. It defines "small business" as a company with fewer than 500 employees and "provider" as lenders or nondepository institutions arranging loans via online platforms. The bill mandates that providers disclose six specific details before finalizing a loan, including total funds, total cost, payment schedule, prepayment policies, and the annualized interest rate. These disclosures must be signed by the small business's agent. The law takes effect 60 days after enactment.