An Iowa newspaper supports a rate cap on payday loans based on popular consensus:

About 70 percent of Iowans support a change in the law to regulate this industry.

Lawmakers need to take up the cause.

Do people realize, however, that this rate cap will close payday lending locations, kill jobs and take away a source of credit for consumers?

That’s what one State Senator in Iowa thinks is the best solution to a consumer group’s cries for closing the payday lending industry

Similar efforts have failed in past years, and Sen. Brad Zaun, R-Urbandale, said he doubted the measure would pass the Legislature this year.

“It’s just more government regulation,” Zaun said. “There has to be some personal responsibility.”

Iowa does currently have a strict law on payday lending, including limits on fees and a ban on rollovers.

A group in Iowa plans a press conference today to demand the state close payday lending businesses:

Iowans for Payday Loan Reform (IPLR) will announce the formation of their statewide coalition and release the results of a poll of voters across the statewide voicing overwhelming support for interest rate caps on payday loans.

Why didn’t they do a poll in Green Bay asking who their favorite team is in the Super Bowl? I’m sure that would have been about as fair. These “polls” always feature loaded questions that get the results the groups wants.

From the Iowa Independent:

“People who go to payday loans, their main problem is that they had no bank to go to,” Miller said. “I’m in favor of getting people banked so that they don’t have to go to the payday loan people. I want people to know their rights, and what the best way to (finance) is and a payday loan isn’t it.”

Do I need to point out the mistakes in thos two sentences?

From the story:

New regulations that aim to slow the spread of pawnshops and payday loan stores won approval from the Des Moines City Council tonight.

Council members approved new zoning restrictions and stronger separation requirements on a 7-0 vote. Three readings are required for final passage.

Under the new rules, pawnshops and payday lenders would be prohibited in two business districts and subject to a half-mile separation requirement. The restrictions would bar pawn and payday loan operations in neighborhood retail and neighborhood pedestrian commercial districts. The businesses would be allowed in eight other business and industrial districts. The businesses would also be subject to a 250-foot buffer from residential districts. Exceptions would require a variance from the city’s Zoning Board of Adjustment.

From the story: 

Des Moines pawnshops and payday lenders would be prohibited in two business districts and subject to a half-mile separation requirement under new regulations that will be considered by the City Council.

Restrictions proposed by city staff include barring pawn and payday loan operations in neighborhood retail and neighborhood pedestrian commercial districts. The businesses would be allowed in eight other business and industrial districts.

Des Moines thinks keep lenders a half mile apart is the answer to a problem that doesn’t exist.   From the story: 

Des Moines pawnshops and payday lenders would be prohibited in two business districts and subject to a half-mile separation requirement under new regulations put before the City Council this week.

Restrictions proposed by city staff and Plan and Zoning Commission members include barring pawn and payday loan operations in neighborhood retail and neighborhood pedestrian commercial districts. The businesses would be allowed in eight other business and industrial districts throughout Des Moines.

From the story: 

Restrictions proposed by a Plan and Zoning Commission subcommittee include the prohibition of pawn and payday loan operations in neighborhood retail and neighborhood pedestrian commercial districts. The businesses would still be allowed in eight other business and industrial districts.

A quarter-mile separation between the businesses and a 150-foot buffer from residential districts could also apply.
“I want the strongest, legally sound ordinance” possible, City Councilman Brian Meyer said.

In mid-May, the City Council enacted a 180-day moratorium on new pawnshops and payday lenders amid growing concerns about their proliferation and impact on neighborhoods.

Seriously.  How tough can a crowd be in Des Moines, Iowa?

Discussing limits on pawn shops and payday lenders.  Here are the details:

Who:  The Plan and Zoning Commission

When:  7 p.m. today in council chambers at city hall

Where:  4200 Mills Civic Parkway.