Payday lender seeks modifications to Ohio pawn legislation to cut competition, raise loan rates

Payday lender seeks modifications to Ohio pawn legislation to cut competition, raise loan rates

A payday lender that operates almost 50 % of the pawn stores in Ohio desires to alter state legislation to remove competition because of its stores and quadruple the amount that bad customers buy pawn loans.

Money America, which has Cashland pawn stores, would like to improve the state limit on pawn loans from 5 per cent a thirty days to 20 %.

In addition, Cash America proposes restricting competition for pawn stores. In big towns and cities like Cleveland, Columbus and Cincinnati, an innovative new pawn store will be banned from starting within two kilometers of a current pawnbroker.

The majority of Ohio’s 300 pawn licenses take place by mom-and-pop shops. Money America, along side its Cashland Financial solutions supply, holds 120 pawnbroker’s licenses. Its next biggest competitor, Lev’s Pawn Shop, has 16.

Independent pawnbrokers want nothing at all to do with the proposition.

Nonetheless they state Cash America could circumvent their objections — and give a wide berth to debate that is public by cramming the modifications into an amendment to Ohio’s gargantuan budget bill. That bill had been near to 5,000 pages, and that is before legislators got the opportunity to make amendments through the Senate flooring. 阅读更多

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