Alabama lawmakers to target "Payday" loan businesses

Jan 1, 2014

SELMA, Ala. (AP) — Some Alabama lawmakers say they're planning to continue pursuing tougher regulations for payday lenders in the upcoming legislative session. The Selma Times-Journal reports that Democratic state Rep. Dario Melton, of Selma, has sponsored two bills to try lowering the interest rates on payday and title loans. Democratic state Sen. Patricia Todd of Birmingham says that lowering payday loan interest rates to 100 percent would even be considered a victory. Several cities throughout Alabama have implemented moratoriums on licenses for new payday lending businesses, or are trying to avoid allowing the businesses to become concentrated in specific neighborhoods. Some advocates of the payday lending industry have said lawmakers should consider targeting tougher legislation toward online lenders instead of storefront businesses.