Quantcast
Home / Opinion / Letters to the Editor / Nobody wants flex loans except out-of-state lenders

Nobody wants flex loans except out-of-state lenders

loan-620

Representative J.D. Mesnard is wrong.

Arizonans do not want payday lenders’ “flex loans.”

In an opinion piece this week, Mesnard defended his bill to allow 204% debt trap loans in Arizona without ever mentioning the interest rate.

Cynthia Zwick

Cynthia Zwick

On the House floor, he even admitted that he has not had a single constituent say, “I need this bill.”

In 2008, millions of Arizona voters affirmed our current 36% annual interest rate cap.  Nearly every year since, payday lenders have tried to overturn the voters’ will and our legislature has correctly rejected these shenanigans.

This year, dozens of groups – from AARP, Arizona Children’s Action Alliance, faith-based organizations and many others – vehemently opposed SB 1316, a back-door payday loan re-entry disguise.

After the House voted to approve these toxic loans, 45 Arizona faith leaders called on the Senate to reject these usurious and immoral lending practices.

When the vote on SB1316 came to the floor of the House, Republican and Democratic legislators acknowledged that questionable payday lenders’ alleged petitions supporting these high-rate loans might have included names of people who actually do not want loans that will cost $10,000 to pay back $2,500.

The only people who want 204% interest loans are out-of-state payday lenders and their lobbyists.   Nobody else.

Cynthia Zwick is executive director of the Arizona Community Action Association

Leave a Reply

Your email address will not be published. Required fields are marked *

*

 

x

Check Also

school-money-620

Give voters say on 1-cent tax to fund public schools

Arizona’s public schools need help. Even as we agree with the truthfulness of that statement, a solution isn’t obvious. But, we as leaders within rural Arizona’s political and education communities want to help our colleagues focus on the heart of the problem the way we do. Then we can work toward meaningful solutions.