St. Paul, MN- Today, the home Commerce Committee authorized bipartisan legislation to deal with a harmful period of financial obligation brought on by predatory payday financing. Rep. Jim Davnie (DFL-Minneapolis) introduced HF 1501 , which will cap the attention price and fee that is annual payday advances at 36%. Minnesota Attorney General Ellison testified meant for the legislation.
“HF 1501 is just a sense that is common to predatory financing inside our state,” stated Rep. Davnie. “Hardworking Minnesotans deserve and need usage of safe and accountable resources, maybe perhaps not something made to take them in and milk their bank reports throughout the longterm, making them worse off and without funds to pay for fundamental cost of living. It’s high time Minnesota joins those states that place reasonable limitations in the rates of loans for struggling customers.”
A former payday borrower, advocates, and experts described the financial destruction caused by loans carrying 200% to 300% annual interest rates with unaffordable terms that create a cycle of debt at a public hearing. Continuer la lecture de « Home Commerce Committee Approves Brand Brand New Tools to handle Predatory Payday Lending »