Payday News, week of May 7, 2016

Payday News, May 2 – 6

May 3, 2016
The Oregonian
Bankrupt cancer survivor gets shock: $300 loan balloons into $40,000 debt in 2 years
Ms. Banks has run up against a practice in the payday and title loan industry that consumer advocates are trying to change.
More coverage:
Raw Story | Oregon cancer survivorís payday loan balloons from $300 to $40,000 ó after filing for bankruptcy

Partner blogs, posts & press releases: (please forward these along in the future)

May 5, 2015
Payday loans are among the most predatory forms of credit on the market. Though they are marketed as having ìreasonableî fees or charges, typical interest rates exceed 300 percent. And because the payday lendersí bottom line actually depends on borrowersí inability to repay ó most payday fees come from borrowers who take out more than 10 loans a year ó they target people with low incomes and no other options.

May 5, 2016
National and in-state advocates released a new fact sheet today about the impact of payday lending on Indianaís residents. Representatives from U.S. Public Interest Research Group (PIRG), Indiana Catholic Conference, and Indiana Institute for Working Families (IIWF), a co-lead for the Indiana Assets & Opportunity Network, participated in a joint press conference call.

April 22, 2016
Maine Center for Economic Policy
Payday loans continue to injure consumers
This week MECEP urged federal regulators to establish strong protections against abuses by payday lenders.

Other Top Stories:

May 5, 2016
My News 13
PolitiFact: Does Florida have top regulations on payday lending?
The issue of payday lending has become one of the Florida-centric issues in Florida’s U.S. Senate campaign.

More News:

May 9, 2016
Times Daily
Orr: Payday lending reform will be back in ’17
Encouraged by its passage in the Senate this session, Sen. Arthur Orr, R-Decatur, said heíll be back next year with legislation to reform payday lending in the state.
Reprints: Decatur Daily

May 7, 2016
The Next Progressive Hope? The Man Trying To Unseat The Democratic Party Chair
There are others besides Canova taking aim at Wasserman Schultz. An outside group, Allied Progress, has paid for billboards attacking her for supporting a bill that would prevent federal regulators from setting terms for payday loans. Those are high-interest, short-term loans consumer groups criticize as predatory.
Reprints: KUNC

May 6, 2016
The Kansas City Star
U.S. Bancorp aiding payday loan probe of Scott Tucker
U.S. Bancorp said itís cooperating with federal prosecutors in an investigation of Scott Tucker, the Leawood payday loan mogul who was indicted in February and accused of running his business as a racketeering enterprise that exploited poor people.

May 6, 2016
Courthouse News Service
$1.6 Million Settlement With Payday Lenders
Nebraska will accept $1.6 million to settle a predatory lending suit against CashCall and Western Sky Financial, which it accused of falsely claiming tribal affiliation to duck lending laws.

May 4, 2016
Flex loans what consumers need to know

May 3, 2016
Springfield News-Reader
Payday interest rate info is shocking
Proud that the Interim Rector of St. James Episcopal Church, Father Charlie Caskey, had joined other religious leaders on a journey to petition our state to enact legislation requiring ìpaydayî loan businesses to cap interest rates at 36 percent.

May 3, 2016
Sun Sentinel
Broward may offer emergency payday loans to employees
Concerned about predatory lenders, Broward County officials said they’ll consider offering employees emergency loans with lower interest rates.

May 3, 2016
The Seattle Times
NerdWallet tries to steer borrowers clear of payday loans
A new guide on the website NerdWallet hopes to redirect as many people as possible away from the sky-high interest rates of payday loans and toward nonprofit lenders or organizations that offer short-term assistance.

May 2, 2016
Prisons, payday lending and oil spill money before lawmakers
Gov. Robert Bentley’s $800 million prison construction plan, proposed payday lending regulations and a division of oil spill settlement funds are among the top issues that will be decided. Lawmakers return to Montgomery Tuesday.

May 2, 2016
The Dallas Morning News
How you can beat the payday lending trap in Texas with low-cost alternatives
The database, built by NerdWallet and searchable by ZIP code, lists more than three dozen community organizations that provide financial assistance to borrowers in the form of small-dollar loans or grants. Loans range from a few hundred to thousands of dollars, typically with no interest.

May 2, 2016
Times Daily
Legislature fails on payday loans
Orr sponsored a bill that would extend repayment periods to six months and caps the finance charge at 45 percent, although additional fees push the maximum allowable interest rate to about 120 percent. A House committee substituted Orrís bill for one that allows an annual interest rate of 180 percent and a repayment period of 28 to 45 days.

May 2, 2016
Daily Reporter
Alabama lawmakers are beginning the final two days of 2016 legislative session
The House of Representatives on Tuesday will consider new restrictions on the payday lending industry.

May 1, 2016
Law Street Media
Should We Bring Back The Postal Banking System?
Eliminating payday lenders would prevent borrowers from taking on that particular pernicious type of debt but does not solve the underlying concern that many unbanked Americans do not have access to credit.