Payday Loan Arguments Hit Home

Posted On: September 10, 2010 at 10:28 a.m.

Filed Under: ballots november payday loan

In Montana, new legislation is going to be on the ballots in November, allowing voters to decide whether or not the payday loan industry should be permitted to continue in the state. While the opponents of payday loan lending argue that 400% interest rates prey on the poor and uneducated, lenders argue that the rates are not that high if paid on time and that, without such lending, many wouldn’t be able to buy groceries or would be left homeless. “Opponents worry an initiative to cap interest rates on payday loans could drive them out of business. [[ads]] Voters will decide Initiative 164 in November. Wednesday, supporters rallied in Missoula. Right now, lenders can charge more than 400% interest annually. The measure would cap the rate at 36%. One payday lender thinks it’s a bad idea. She worries about what her clients will do if lenders start going out of business. “They can’t go to their banks and borrow just $300 to buy groceries for their kids. I’m worried about what the people are going to do,” Quik Check’s Jill Wright said. “How many are going to not pay their rent and be out on the street?” (http://www.nbcmontana.com/news/24846966/detail.html). What do you think? Should voters vote for this law to go into effect?

Comments






*Rapiddollar.com is not a lender, does not broker loans to lenders and does not make cash advances or credit decisions. Rapiddollar.com will submit the information you provide to a lender. This site does not constitute an offer or solicitation to lend and providing your information on rapiddollar.com does not guarantee that you will be approved for a payday loan. Rapiddollar.com is not an agent, representative or broker of any lender and does not endorse or charge you for any service or product. The time it takes to fund your loan may vary between lenders and may depend on your individual financial institution. In some circumstances faxing of documents for verification may be required. Please contact your lender directly for questions or concerns regarding your cash advance. Payday cash advances are meant to provide you with short term financing to solve immediate cash flow concerns and should not be considered a long term solution.

**Typically lenders will not perform credit checks with the three credit reporting bureaus: Experian, Equifax, or Trans Union. Some lender may use alternative providers for credit checks or consumer reports.

Residents of Georgia, Ohio, Virginia and West Virginia are not eligible to apply for a payday loan through rapiddollar.com.