Mississippi Senate passes bill to grow vehicle title-lending

The Mississippi Senate authorized installment-loan legislation Wednesday that supporters say creates options for cash-strapped borrowers but has opponents stressing it expands predatory financing.

The balance, SB2409, won passage on a 38-11 vote.

Supporters of legislation authored by Sen. Rita Potts Parks, chairwoman for the company and Financial Institutions Committee, tout it in order to ensure short-term loans are available following the U.S. customer Financial Protection Bureau enacts sweeping brand brand new reforms, perhaps as soon as this springtime.

Whitney Barkley for the Center for Responsible Lending stated her writeup on Parks’ bill shows that it is another method to trap Mississippians in a period of financial obligation. Comparable bills are getting through State Houses across the national nation, she stated.

“This could be the nationwide pay day loan industry attempting to create this installment loan item with payday loan rates,” said Barkley, an insurance plan counsel aided by the center and previous staff lawyer using the Mississippi Center for Justice.

“More people are certain to get caught in a financial obligation trap,” she stated. Read the rest of this entry