West End Neighborhood House, Inc., Wilmington, announced the statewide expansion of its low-interest loan program – now called Loans Plus. This program helps Delawareans break free from the cycle of predatory lending known as payday lending, according to a release from the organization.

This bank is part of the FDIC’s small loan program.   The FDIC, in its own reports, say that the banks are not making money and are making very few loans.

Prior to Thursday, if a borrower defaulted on a title loan, the person risked losing the vehicle and was still responsible for paying what was due. The practice came to an end Thursday, when Gov. Jack Markell signed a new law that provides protection for consumers of title loans — short-term loans in which a borrower provides a motor vehicle as collateral.

State regulator reports show that more than 90 percent of payday advances are repaid when due.

These are businesses, not charities. It would not make good business sense to loan money to people who can’t pay you back.

Can’t get more straightfoward than that.

Delaware governor Jack Markell unveiled legislation Wednesday that would force payday lenders in the state to pay a $1,500 surcharge per location in addition to the existing license fee.

The fee would be used for financial literacy.

The proposals, which Markell will discuss next week in his address to a joint session of the Delaware General Assembly, focus on a particular type of predatory lenders: those who issue payday loans and title loans.

Specifically, the legislation would require that any payday lender who wants to set up shop in Delaware be licensed by the state and would need to pay a $1,500 fee that will go to making low-interest lending programs available. The Governor also proposal also demands a similar license and fee from title lenders and goes one step further by requiring the lenders to cease all liabilities on the loan once the family surrenders the title.