In June 2008, customer advocates celebrated whenever previous Governor Strickland finalized the Short- Term Loan Act.

The Act capped yearly rates of interest on pay day loans at 28%. It given to various other defenses from the utilization of pay day loans. Customers had another triumph in 2008 november. Ohio voters upheld this law that is new a landslide vote. Nonetheless, these victories had been short-lived. The cash advance industry quickly created methods for getting round the brand new legislation and continues to run in a way that is predatory. Today, four years following the Short-Term Loan Act passed, payday loan providers continue steadily to prevent the legislation.

Pay day loans in Ohio are often little, short-term loans in which the debtor gives a check that is personal the financial institution payable in 2 to a month, or permits the financial institution to electronically debit the debtor”s checking account at some time within the next couple weeks. (more…)