Go get ’em Ohio!
In a previous post I had talked about an Ohio effort to cap interest rates on loans. This would cripple the insidious Payday Lending industry.
Good news – the bill has been signed into law:
Gov. Ted Strickland, of the great state of Ohio, has signed a bill that punches the rapidly growing payday lending industry in the face. As we’ve mentioned before, the bill will cap interest rates at 28% and limits consumers to 4 payday loans per year. A typical payday loan charges around $15 per $100 borrowed on a 2 week loan, which works out to an interest rate of 391%.
This is a scam industry that needs to be wiped out. It doesn’t solve money problems. It defers and amplifies them.
Does anyone know of other states that have regulations against Payday lenders? I would love to post an honor roll.