MICAH TASK FORCES

Links

From WISDOM, out statewide organization:

STOP PREDATORY LENDING

Since last summer, the legislature has been considering measures to regulate the Predatory Lending industry. (Currently, Wisconsin is the ONLY state in the U.S. that does not regulate the PayDay Loan business or have a cap on interest rates for such places.) The strongest proposal had very significant bi-partisan support, until the Predatory Lending industry hired 30 lobbyists and pumped a great deal of cash into campaign funds. Then, the process came to a near halt. Finally, after some negative publicity, Assembly leadership began to meet behind closed doors to fashion some sort of "compromise." They unveiled their plan on February 9. While there are many good aspects, the new measure STILL DOES NOT LIMIT INTEREST RATES--meaning that Predatory Lenders could still charge 500% or 600% interest, or more. They passed the bill in Committee the next day, and they intend to rush it through the whole Assembly next Tuesday. They do not intend to hold a public hearing.

The WISDOM Committee working on this issue is very concerned that this is a bill filled with loopholes--especially the refusal to institute any sort of limit on interest rates. The measure they propose would still leave Wisconsin far outside the mainstream, as almost every other state has a cap on interest rates.

We are asking you to call your legislators and tell them you want two things:

1. If they are serious about wanting to limit the damage done by PayDay Lending, they must set a limit on interest rates.

2. They need to hold a Public Hearing about this new "compromise" proposal. Assembly leaders are currently refusing to hold such a hearing, to give the public a chance to let their representatives know what we think about this "compromise."

Even though the measure is currently being fast-tracked through the Assembly, we have also been asked to contact our state senators. In order to become law, any measure has to go to them as well. We need to keep up the pressure so they do not just let it drop, or join the Assembly in rushing through a bill that accomodates the Predatory Lending industry. It is very important that our Assembly representatives and Senators hear from us. Until now, the voice of the public has been drowned out by the voices of the lobbyists.

PLEASE make a call to your legislators today, and ask friends to do the same. Click here for talking points, and here to identify and get contact information for your legislators.

For more information, contact David Liners, WISDOM Director, (414) 831-2070.