skip to main content
skip to newscasts

Thursday, March 28, 2024

Public News Service Logo
facebook instagram linkedin reddit youtube twitter
view newscast page
play newscast audioPlay

Pulling back the curtains on wage-theft enforcement in MN; Trump's latest attack is on RFK, Jr; NM LGBTQ+ equality group endorses 2024 'Rock Star' candidates; Michigan's youth justice reforms: Expanded diversion, no fees.

view newscast page
play newscast audioPlay

Transportation Secretary Pete Buttigieg says rebuilding Baltimore's Key Bridge will be challenging and expensive. An Alabama Democrat flips a state legislature seat and former Connecticut senator Joe Lieberman dies at 82.

view newscast page
play newscast audioPlay

Historic wildfires could create housing and health issues for rural Texans, a Kentucky program helps prison parolees start a new life, and descendants of Nicodemus, Kansas celebrate the Black settlers who journeyed across the 1870s plains seeking self-governance.

VA Payday Loan Cap: Ten Times Higher Than You Think

play audio
Play

Monday, March 10, 2008   

Richmond, VA – Critics of payday lenders say prospective borrowers shouldn't rush to the quick-and-easy loan store just yet. It's true that the Virginia Legislature capped payday loan interest rates at 36 percent -- however, that doesn't really mean it's all that borrowers pay.

Doug Smith with the Virginia Interfaith Center for Public Policy says the new law includes a fee of $20 for each $100 borrowed, as well as a so-called "verification fee."

"Well, if they take out a $500 loan, what they're really paying is $600, plus the $5 verification fee, plus 36 percent interest on top of that."

Smith belives that, while the bill that cleared the legislature was a compromise between lawmakers and lenders, it still doesn't provide all the protections that borrowers need.

"It expanded the loan term to two pay cycles. When they did that, though, the industry insisted that they should have an increased amount of money that they could charge borrowers."

Smith adds when the new fees are included, the bill only cuts the cost of a payday loan slightly. Overall, it's now the equivalent of paying an annual interest rate of 362 percent, rather than 391 percent. The bill is now on Governor Kaine's desk; Smith hopes the governor will request amendments and return the bill to lawmakers for another look, saying it must also address borrowers' inability to pay, in order to break what Smith calls the "cycle of debt."




get more stories like this via email

more stories
A report from the Tennessee HealthCare Campaign recommended the federal government needs to strengthen 340B drug pricing and other federal negotiation mechanisms to make needed medicines more readily available and less expensive for hospitals to purchase and administer. (Spotmatikphoto/AdobeStock)

Health and Wellness

play sound

A recent report examined how some rural Tennessee hospitals have managed to stay afloat despite financial challenges. The report includes interviews …


Social Issues

play sound

Earlier this month, a new Arizona Public Service rate hike went into effect and one senior advocacy group said those on a fixed income may struggle …

Social Issues

play sound

Michigan recently implemented a significant juvenile justice reform package following recommendations from a task force made up of prosecutors…


Nearly 13 million Americans receive health coverage through unique plans under both Medicare and Medicaid. They are known as Dual-Eligible Special Needs Plans. (Adobe Stock)

Health and Wellness

play sound

Medicare and Medicaid are key sources of health coverage for many Americans and some people qualify for assistance under both programs. With lagging …

Social Issues

play sound

A mix of policy updates and staffing boosts has helped to put wage theft enforcement on the radar in Minnesota, and officials leading the efforts are …

More than six in 10 Americans favor keeping the abortion pill mifepristone available in the U.S. as a prescription drug, while over a third are opposed, according to a Gallup poll. (Adobe Stock)

Social Issues

play sound

New research shows more than six in 10 abortions in the U.S. last year were medically induced, and U.S. Sen. Catherine Cortez Masto - D-NV - is …

Social Issues

play sound

Colorado is working to boost the state's agricultural communities by getting more fresh, nutritious foods into school cafeterias - and a new online …

Social Issues

play sound

Missouri lawmakers are concerned with protecting people from the potential risks of the increasing accessibility of AI-generated images and videos…

 

Phone: 303.448.9105 Toll Free: 888.891.9416 Fax: 208.247.1830 Your trusted member- and audience-supported news source since 1996 Copyright © 2021