In 2017, Habitat Omaha will once again be working to change payday lending regulation so it is less predatory. Current regulation in Nebraska requires quick repayment and allows for a huge annual interest rate of up to 461%. Because of this, people get stuck in an awful cycle of taking out new loans and mounting fees.
This is not the type of business practice we want to encourage in our state. We support reasonable reform like LB 194 as it maintains access to credit, while reigning in the worst offenses of predatory lending. The bill is based off of legislation enacted in Colorado, and data demonstrate that the Colorado law is working. LB 194 would:
- Limit the fees and interest a payday lender can charge
- Allow borrowers to pay affordable amounts over a reasonable amount of time
- Keep money in our state and help support our families and communities
You can help stop predatory payday lending in our state!
Take just a few moments to contact your state senator to let them know you support LB 194 and its reasonable approach to payday lending reform.
Better yet, give your senator a call!
Calling your state senator is one of the most effective ways to get their attention. For many people, this seems intimidating–but it doesn’t have to be. Don’t forget, they want to hear from the people they represent. Other than elections, it’s one of the only ways for them to know how their constituents feel.
If you decide to call your state senator, use these talking points to get started.