There will be no legislation emerging from the Kentucky General Assembly this year clamping down on payday lenders.
For three years now, Louisville Representative Darryl Owens has been trying to cap the APR on payday loans in Kentucky at 36%. But his bill never went anywhere. It didn’t even get a committee hearing, until now. But after hearing payday lenders argue they provide a valuable service to Kentuckians with nowhere else to turn for small, short-term loans, the House Banking and Insurance Committee voted 13-10 against the bill.
“Simply stated, payday lending affects our most vulnerable citizens – the poor and senior citizens. The very people we were elected to safeguard,” says Owens.
Representative Owens says he won’t try to revive the bill this session, but he’ll keep trying.