Midland cash advance ordinance one possible model for statewide legislation

Midland cash advance ordinance one possible model for statewide legislation

Texas lawmakers have actually started considering a bill that could create statewide laws throughout the payday and auto-title lender industry, alleged “predatory loan providers.” A week ago, the home Committee on Investments and Financial Services looked to Midland’s laws on cash advance companies.

Midland City Council enacted an ordinance year that is last at protecting customers through the financial obligation cycles that payday loan providers — or credit access organizations (CAB)— allegedly levy on borrowers. The ordinance limits a advance loan to a maximum of 20 % of a customer’s income that is monthly also it makes payment installments at minimum 25 % for the principal and restricted to four re payments.Read more