Update Arizona
June 28, 2010 | Arizona, industry | Comments (2)New law takes effect on Thursday. From the story:
Some payday lenders in Arizona have already shut their doors and more are expected to follow when a law authorizing their high-interest loans expires at the end of the month.
Starting Thursday, the state no longer will allow payday-loan operators to set interest rates as high as 460% annually. A 10-year-old law that allowed them to charge above the 36% annual rate cap imposed on other lenders will expire.
Lee Miller of the trade group Arizona Consumer Financial Services says smaller operators are expected to close, while large companies will try to find new products for Arizona customers.
Comments»
Same to see a State cancel jobs when they seem so hard to come by these days.
Not to mention all the real-estate that is now vacant and millions of Arizona residents without a viable credit option for them when they need it. Plus watch as those residents turn to the internet lenders then if some of them are offshore they may abuse some of Arizona’s Customers leading to complaints to their state regulators who will not have an answer because some of these lenders will most definitely be out of their jurisdiction. Once again the road to hell is paved with good intentions!