LANSING, MI (WKZO AM/FM) – A Michigan group is organizing a ballot proposal to limit interest and fees charged by payday lenders they say are trapping low-income borrowers in cycles of debt.
Michiganders for Fair Lending needs 340,000 valid voter signatures by June.
If the group gathers enough signatures, the measure would go to the state legislature, where efforts to rein in payday loans have stalled. If lawmakers don’t act at that time, the measure would go on the November 2022 statewide ballot.
The proposal would cap such payday lenders loans at a 36% annual percentage rate. The group says they typically equal 370% now.
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