By Chet Brokaw
PIERRE – After negotiating with representatives regarding the lending that is payday, Rep. Steve Hickey has arrived up by having a proposition he hopes the Southern Dakota Legislature will pass to place limitations from the short-term loans he claims can trap the indegent in crippling rounds of debt.
The Sioux Falls Republican stated industry representatives had been alarmed year that is last their effort that could have put a proposed law from the statewide ballot to cap interest levels for such loans. He stated he consented to stop the ballot work should they would cooperate to publish reasonable laws.
The compromise led to a bill that rather than restricting rates of interest for short-term loans would impose state that is additional and restrict the dimensions of loans centered on a borrowers’ cap ability to settle. Wednesday the House Commerce and Energy Committee will hold a hearing on the measure.