Letter to the Editor printed in Morning Call
I was dismayed to learn that state legislators in Pennsylvania may vote to authorize predatory payday lending in the Commonwealth. ("Payday Lending for Pennsylvania?", September 10, 2012). Should HB 2191 pass, it will legalize high-cost loans – at over 300% annual interest— that will be peddled in storefronts and over the internet to our economically vulnerable. Presently, Pennsylvania has been a national leader in stopping predatory lending with a strict usury limit of about 24% annually. Should HB 2191 pass, these protections will disappear and many consumers could find themselves in an endless cycle of fees and mounting debt.
I was dismayed to learn that state legislators in Pennsylvania may vote to authorize predatory payday lending in the Commonwealth. ("Payday Lending for Pennsylvania?", September 10, 2012). Should HB 2191 pass, it will legalize high-cost loans – at over 300% annual interest— that will be peddled in storefronts and over the internet to our economically vulnerable. Presently, Pennsylvania has been a national leader in stopping predatory lending with a strict usury limit of about 24% annually. Should HB 2191 pass, these protections will disappear and many consumers could find themselves in an endless cycle of fees and mounting debt.
Many agencies and
faith based groups that are committed to helping families in need are speaking
out against HB 2191 because they experience first-hand the financial and
emotional misery such predatory businesses inflict on their communities. My
hope is that our state Senators will stand up for our communities and keep
Pennsylvania free of abusive payday loans.
A hearing will be
held on this bill on September 19th and a vote
could be scheduled shortly thereafter.
Get involved. Call
your Senator. Learn more at www.stoppaydayloanspa.com. As we work to recover from an economic
crisis, the last thing citizens of the Commonwealth need is 300% interest rate
debt.
