Leadpile’s Blog

There was some new local news regarding the payday lending industry.  Our (AZ) House of Representatives voted Monday against a bill that would allow AZ payday lenders to charge up to 113% APR.  According to AZcentral.com, “The legislation would have allowed loans of $200 to $3,000, and they would have to be repaid in five to 24 months. Interest-only payments were prohibited and borrowers could repay loans early with no penalty.” There seems that there should be some happy medium in regards to regulating the payday lending industry, but not necessarily having to eliminate it totally.  Where will this AZ payday legislation end? Allow payday loans…. NOT allow payday loans? Stay tuned!

According to paydayfacts.org, The Ohio Grocers Association has backed Ohioans For Financial Freedom. The group is stating that consumers are going through a lot of economic hardships, and taking away additional sources of financial help is not the way to go. The other aspect they are concerned about is the fact that if this legislation takes effect, 6,000 employees in the payday lending industry could loose their jobs, resulting in their bills and loans becoming delinquent ultimately affecting other financial industries. This group believes that consumers should be able to make their own decisions about borrowing money, and the government should not be making that decision.

Either way, the payday loan lead type is a very demanded lead type with Leadpile Lead Exchange.
We shall see if Ohio falls in the footsteps of some other states developing legislation in this industry.