Legislation introduced to legalize payday-like loans in Pennsylvania

Legislation introduced to legalize payday-like loans in Pennsylvania

a relocate to legalize high-cost loans that are short-term Pennsylvania has been resurrected into the Legislature.

Legislation happens to be introduced to legalize just exactly what Sen. Pat Browne, R-Lehigh County, defines as a brand new form of short-term loan item.

This plan brings with it an avenue for borrowers to earn their way to longer-term, cheaper loan products unlike the legislation that stalled out in the Senate last year after passing the House.

Sen. Pat Browne, R-Lehigh County, on Friday introduced legislation which he believes reacts to your criticisms raised concerning the proposition available in last legislative session.

It also possesses name that is new the two-week loans. Browne’s bill calls them “micro loans.”

But opponents state they aren’t tricked.

By simply reading the memo that Browne distributed to their Senate peers searching for their help, opponents see small distinction between it therefore the proposition they fought a year ago.

“No matter just just just what proponents like to phone it, a predatory payday loan is nevertheless a predatory payday loan. Payday advances make the most of susceptible individuals by asking interest that is outrageous” said Stephen Drachler, executive manager of this United Methodist Advocacy in Pennsylvania.