Tuesday
Councilman Juan Chadis thinks lenders that are short-term preying on Lubbock’s many vulnerable residents, so he’s gearing up to introduce an ordinance directed at regulating the industry in Lubbock.
Chadis is hoping Lubbock joins the almost 40 towns across the declare that curently have an ordinance that is standardized decrease the “abusive and predatory financing techniques” of short-term loan providers referred to as payday or automobile name loan providers. These loan providers typically provide tiny loans at greater interest levels due for payment either in the debtor’s next payday or through repayable installments over a length of the time.
The ordinance is modeled after a variation crafted by the Texas Municipal League and includes restrictions that restrict the total amount of car and payday title loans, and exactly how frequently they could be refinanced. Continue reading