Efforts To Curb Payday Lending At The Statehouse Once Again

Feb 4, 2014

Legislation dealing with payday loans is once again working its way through the general assembly.

The issue of payday lending has come up many times in recent years at the general assembly.

This is the latest of several attempts in recent years to curb payday lending in Rhode Island at the Statehouse.

The controversial practice offers quick loans, but they often come with interest rates that can soar to more than two-hundred fifty percent.

At the Statehouse, Representative Frank Ferri, and Senator Juan Pichardo announced they’ll introduce legislation capping payday loan interest rates at thirty six percent.

Advocates for payday lending say the loans are an important financial tool for the people who need them.

According to the Pew Charitable trust Rhode Island and Maine are the only states in New England that allow payday lenders to operate out of storefronts.

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