Ohio House Speaker believes in protecting the free market by limiting it…
August 7, 2008 | COHHIO, Cincinnati Enquirer, Ohio, industry, industry critics, media coverage, regulation, states | Comments (2)Ohio House Speaker Jon Husted today explained why he thinks eliminating jobs and limiting financial choice is a positive path forward for the people of Ohio:
“We capped the [payday loan] interest rate at a level that created a reasonable expectation that the borrower could pay it back, that they wouldn’t be trapped in a cycle of debt,” Husted said. “We didn’t ban small loans, we banned a defective product.”
Right — they didn’t ban small loans, they effectively banned small loans. Details, details. Why is it that not one Ohio politician who voted for this atrocious legislation will step forward and say what they’re dying to say: “You know what? I think the people of Ohio are irresponsible and have proven that they can’t handle their finances. I voted to effectively ban payday lenders because I trust my judgment more than that of the people who elected me.”
These self-appointed nannies love to put the payday loan industry on the hook for “cycles of debt” that they have no quantifiable evidence to back up, but refuse to be held accountable for the possibility of 6,000 lost jobs:
Strickland, Harris and Husted said there is no evidence that 6,000 jobs will be lost as a result of the new law.
Evidence is a funny thing. The Payday Pundit thinks Strickland, Harris, and Husted will have all the evidence they’ll ever need about Ohioans’ views on payday loans if the repeal initiative gets on the ballot.
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… “cycles of debt” that they have no quantifiable evidence to back up …
Instead of “cycles of debt” let’s call it “customer loyalty” when the 10% who are the most frequent borrowers in Florida got at least 19 “emergency” loans during 2007. In Oklahoma the top 10% got at least 21. The most loyal 3646 customers in Oklahoma had more than 26 payday loans during 2007. All of these numbers come from the Veritec Solutions reports, which seem like quantifiable evidence.
Our state is bleeding itself to death. I don’t think you will find it surprising if you look at:
http://www.forbes.com/2008/08/04/economy-ohio-michigan-biz_cx_jz_0805dying_slide.html?partner=email
4 of the “Top” 10 of America’s Fastest Dying Cities are located in the Buckeye state. (Cleveland, Canton, Dayton, Youngstown)