The Dispatch wrote Strickland signs payday-lending bill
Tuesday, June 3, 2008
By Jim Siegel
Gov. Ted Strickland yesterday signed tough new restrictions on short-term lending in Ohio that supporters say will put an end to a payday loan industry that does far more harm than good for Ohioans in financial trouble.
When the law takes effect in 90 days, it will put an end to the payday lending industry as it exists in Ohio, likely pushing many of Ohio’s 1,600 payday stores out of business. No longer will lenders be able to offer two-week loans with a 391 percent annualized interest rate ($15 per $100 on a two-week loan).
Strickland said the bill shows that “We will not tolerate individuals being exposed to exorbitant rates, which does contribute to this cycle of indebtedness.”