Payday Lending Reform Advocates Taking Issue To Voters
The group pushing for payday lending reform is taking their fight outside of the Statehouse and to Ohio voters. Advocates hope to put an issue on the ballot that caps interest rates.
Community leaders say they’re tired of waiting for lawmakers to cap the interest rates for payday lending loans. These are rates that can reach nearly 600%.
Carl Ruby is a pastor in Springfield who advocates for payday lending reform. He says if the initiative makes the November ballot and is approved by voters, it would make the reform permanent.
“This would make it unconstitutional for anyone to every pass legislation that allows for loans charging more than 28% so this still provides long term protection for people,” said Ruby.
The group is backing HB123 that’s been sitting in the House for nearly a year and has only had two hearings. Ruby says they hope their initiative spurs action by lawmakers. But opponents say the idea would cut off a credit source for Ohioans who need it.