Payday Lending Reform in Minnesota
On Tuesday, February 26, state legislators will hold a hearing on payday lending legislation in Minnesota, including a push for a 36% effective interest rate cap.
Here is HF 1501 as introduced today, regulating interest rates for consumer short-term and small loans. Exodus Lending staff and participants will share their experiences with payday loans at next week’s hearing, and partners from the Center for Responsible Lending and the Village Financial Cooperative will also testify.
We’d love for you to join us! On the 26th, we will meet at 2:30 pm in the Basement Hearing Room at the State Office Building (100 Rev. Martin Luther King Jr Blvd, St. Paul, 55155).
If you plan to attend, please contact Sara at [email protected] so we can have an accurate headcount.
Can’t attend? Contact your legislator to let them know where you stand on this issue.
More on 36% Interest Rate Caps
A 36% interest rate cap is already in place in 16 states as well as the District of Columbia. Active-duty military members are also protected by a 36% interest rate cap thanks to the Military Lending Act, although this protection doesn’t include military veterans.
Changes to the CFPB Payday Rule
On the federal level, deregulatory efforts may make life easier for payday lenders. TheConsumer Financial Protection Bureau (CFPB) announced plans to delay implementing its Payday Rule until 2020 while moving to eliminate the ability-to-repay provision.
Beginning March 1st, Exodus Lending’s new address will be:
2380 Wycliff Street, Suite B-100
St. Paul, MN 55114
Our new office space will have the necessary infrastructure features for us to become credit reporters with the Credit Builders Alliance. We’re thrilled to be able to increase the financial wellbeing of our program participants even more with improved credit scores. Plus, the new location provides ample room for staffing and programmatic growth, giving us the ability to prepare for future developments.
From reform to relocation, these changes are HUGE. They’re only possible because of the support of our community. Thank you for contributing to a better, brighter, more economically just Minnesota.