The Springfield City Council voted Monday to impose new regulations on payday lenders whose high interest rates can create a “debt trap” for desperate borrowers after years of debate.
One of the shows ended up being a strategy to impose $5,000 yearly licensing charges susceptible to voter approval in August, that could go toward enforcing the town’s guidelines, assisting people in financial obligation and supplying alternatives to short-term loans.
But Republican lawmakers in Jefferson City might have other ideas.
For action earlier in the day Monday, Rep. Curtis Trent, R-Springfield, included language up to a banking bill that lawyers, advocates and city leaders say would shield a quantity of payday loan providers from costs targeting their industry.
The bill passed the home that and cruised through the Senate the next day.