Some payday lenders in Arkansas standing firm
July 16, 2008 | Arkansas | Comments (1)The group Arkansans Against Abusive Payday Lending are garnering quite a bit of press coverage with their report on the state of the payday loan industry in Arkansas. The AP reports:
A new report released Wednesday says a third of the payday lenders that Attorney General Dustin McDaniel ordered to close have remained open and restructured their businesses to avoid state regulation.
The report says the lenders “have developed new business models in an attempt to avoid even the minimal regulations of the Check Cashers Act and, more significantly, the recent crackdown by the Attorney General.”
Though the Payday Pundit is sure Arkansans Against Abusive Payday Lending is a fair and balanced source of information, it’s doubtful that payday lenders are reshaping their business models because they want to avoid “even the minimal regulations” of Arkansas law. They’re probably up to something slightly less sinister, like “striving to keep their businesses open,” or “continuing to put food on their tables.” Shame on those payday lending small business owners.
Comments»
I find this funny. Now the state is steping in and telling an entire industry what they can not do in their state. This goes against everything in our country for free enterprise. No one is forcing these people to get these loans, and they agree to the terms of these loans. If anything they need to make the people responsible for there own action. This tells us that the people in Arkansas are to slow to understand what the payday loan companies are doing and they need state assistance. If I owned a payday loan company in the state of Ar. I would sue the state for loss of income. After all being told what we can do in our own business is one reason we broke away from England.