AUSTIN – Lubbock, Midland, Dallas, Houston, San Antonio, El Paso and other cities across the state have asked the Texas Legislature to regulate the growing number of businesses making short-term loans.
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The issues at Cash America occurred at two of the Fort Worth, Texas-based financial services firm’s subsidiaries. Congress gave the CFPB authority to regulate payday loans in the Dodd-Frank Act. In.
RIO GRANDE VALLEY, Texas – The state Senate. would restrict payday lending to 35 percent of a borrower’s monthly income and cap fees at 15 percent. Its author is Sen. Wendy Davis, D-Fort Worth.
Supporters of payday lending say it offers a needed service to consumers who have few options for short-term loans. critics say the companies prey on struggling people by charging high fees and.
The push has divided Native American groups, with critics of payday lending opposing tribal involvement in the businesses, which charge interest rates as high as 521 percent for short-term loans.
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Pennsylvania’s attorney general sued Think Finance Inc. in November for using tribes, including the Otoe-Missouria, as a cover for an “illegal payday-loan scheme.” Jennifer Burner, a spokeswoman for.
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Small business mentor Jim Lewis, chairman of the Fort Worth, Texas chapter of the Small Business Administration program SCORE, said clients occasionally ask about payday loans. But Lewis said small.
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