Ohio still in the air

Payday lenders are trying to repeal part of HB 545, specifically, the part about the interest rate caps.

This article provides some insight on the ballot process in Ohio. “Instead of asking voters to repeal the entire law, payday lenders are asking for only a partial repeal of House Bill 545 – the portion that eliminates the current payday interest rates.”

Since HB 545 passed, over 550 lenders had applied for new licenses allowing them to charge 28 percent plus a one-time $15 origination fee on short-term loans. Personally, I don’t see the reward associated with this much risk. It wouldn’t even cover the loan losses.

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