Nationally, Congress in 2007 passed a 36 percent rate cap on payday loans for military families. Fifteen states and the District of Columbia have passed similar interest rate caps for all their residents.

The military is relying on charity through its relief societies.  DC residents are using Internet lenders or driving to Virginia for loans.   Maybe the state of California can get into the small business.  It’s not like they have any financial problems.

Today’s Sacramento Bee article by Claudia Buck blames payday lenders for the financial troubles many members of the military have found themselves in.  The article failes to mention that, as of October 1, 2007, payday lenders do not lend to military personnel due to the restrictive rate caps that would cause lenders to lose money on each loan.  Geesh…if you are going to blame payday lenders, at least get the facts right.