Regulating Payday Lenders

Posted Tuesday, June 9, 2009

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Ohio voters thought they'd outlawed high-interest payday loans. But many lenders found loopholes that allowed them to continue making unsecured loans at even higher rates by levying additional fees. Now, Ohio lawmakers will take another crack at limiting payday loans with a new set of rules contained in House Bill 209. We'll discuss the law with its chief sponsor, talk to an advocate for low income people and hear the industry side from the CEO of a payday lending company with more than 200 offices. Join us with your thoughts Tuesday morning at 9:00.

Guests

State Rep. Matt Lundy, D-Elyria
Jeffrey Dillman, executive director, Housing and Research Advocacy Center
Ted Saunders, CEO, Checksmart Financial Company

Additional Information

Read a draft of HB 209
Federal Trade Commission suggests payday loan alternatives.

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D Walker 9:32 AM 6/9/09

Nothing should be done with the payday lenders until the regular banks can’t charge such high fees and high intrest rates. The banks are worse than payday lenders. I know I will vote no on the next bill until after banks are required to stop ripping people off.

Fred 4:43 PM 6/9/09

I agree with Walker, the banks and credit cards have more loopholes than the payday loan industry, and there are studies out that say cash advances are used responsibly, don’t lead to bankruptcy, and are used by people that do have jobs and education. These are dumb poor people using payday loans, they are real people who need cash and we shouldn’t get in the way of what they want.

Lee F 3:44 AM 6/23/09

The review has a point, Obama Administration has to make serious commitment to deep mid-term cuts in greenhouse gas emissions and to provide long- promised funds for developing countries to adapt to climate chnge and the same concerns as well. Many people think of different things when they hear the word a payday loan store. The phrase payday loan store conjures, to some, an image of a building in a poor neighborhood where they prey on the people there that find themselves in a spot of trouble. That’s a poor stereotype, and it really doesn’t live up to reality in the slightest. Payday lenders aren’t the monsters many assume them to be, and you don’t actually need to even go to a store to get a quick loan. Many lenders take applications on the internet, and you can apply for an online payday loan via direct deposit without even visiting a payday loan store.