Communities Against Payday Predators (CAPP), a coalition of labor, veteran, consumer and church groups, is attempting to rein in payday lenders, who currently charge interest rates as high as 391-percent. A bill by state Rep. Sherry Appleton (D-Poulsbo) would have capped the rate at 36-percent, but the committee chairman with jurisdiction has refused to hold a hearing.
A bill that would slash the interest rates charged by payday lenders appears dead after a key committee chairman said the proposal won’t get a hearing.
“I want to do this in baby steps,” said Rep. Steve Kirby, who leads the House Insurance, Financial Services and Consumer Protection Committee. “I have to be a little more thoughtful on these issues than someone who is not on the committee and just puts a bill out there.”
Rep. Kirby has introduced his own reform bill which I believe has something to do with prohibiting payday lenders from breaking the kneecaps of defaulters. I suppose that’s a start.
“It is certainly a better attempt at good regulation than what is being proposed by Rep. Appleton,” said [Money Tree CEO Dennis Bassford], who leads one of the state’s largest payday-lending chains.
He and Money Tree Vice President David Bassford donated $1,200 to Kirby’s last political campaign.
Um… and there are those who argue that public financing of elections would endanger our Democracy.
As has been pointed out in the comment thread, there are now more payday lenders in WA state than there are Starbucks. Not bad for a local industry that didn’t exist 12 years ago.
Oh… and guess which legislative district has the highest number of payday lenders? Rep. Kirby’s 29th LD. I’m just sayin’….