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Springfield lawmaker’s add-in may help payday lenders skirt licensing costs, advocates state

Springfield lawmaker’s add-in may help payday lenders skirt licensing costs, advocates state

After several years of debate, the Springfield City Council voted Monday to impose new laws on payday loan providers whose high interest levels can make a “debt trap” for hopeless borrowers.

One of the features had been an idea to impose $5,000 yearly licensing charges at the mercy of voter approval in August, that could get toward enforcing the town’s guidelines, assisting individuals in debt and supplying options to short-term loans.

But lawmakers that are republican Jefferson City could have other some ideas.

Doing his thing early in the day Monday, Rep. Curtis Trent, R-Springfield, included language to a banking bill that lawyers, advocates and town leaders state would shield an amount of payday loan providers from charges targeting their industry.

The bill passed the home that and cruised through the Senate the next day. Every Greene County lawmaker in attendance voted in favor except House Minority badcreditloans123.com hours Leader Crystal Quade, D-Springfield. It is now on Gov. Mike Parson’s desk for last approval.

Trent’s language particularly states neighborhood governments are not permitted to impose charges on “traditional installment loan lenders” if the charges are not necessary of other finance institutions controlled because of hawaii, including chartered banking institutions.