Vote ‘no’ on Payday Loan Reform Act

By Aimee Staten
Managing Editor
Published on Wednesday, October 22, 2008 8:16 AM MST

Considering the proposition more of a trap than a reform, Arizona Attorney General Terry Goddard is urging a “no” vote on Prop. 200.

“It’s a trap we need to make sure Arizona consumers don’t continue to get caught in,” he said in a recent talk show interview on KFYI-AM in Phoenix.

The proposition sounds as if its main purpose is to reform a payday loan act, which is scheduled to expire in 2010, but it actually protects the predatory lending business, which is snaring desperate borrowers and charging interest rates up to 391 percent.

The reform is that the business will no longer be able to charge up to 460 percent in interest, limiting it instead to under 400 percent.

While it is true that people sometimes need quick loans, they can get caught in cycles of taking out payday loans to pay off a previous payday loan. That is the basis of this country’s economic crisis, borrowing on tomorrow and, as a result, falling further and further behind.

Other lending institutes in the state cannot charge interest rates higher than 36 percent, according to the Arizona Credit Union League and Affiliates Web site.

Vote “no” on this proposition to protect individual and state economies.

Comments

18 comment(s)

    3rdstreet Aint wrote on Nov 5, 2008 6:28 PM:

    " Fraudulent morgage companies are criminals too. Pointing the finger at other guilty parties doesn't make loan sharks any less guilty. "

    3rdstreetsaint wrote on Oct 30, 2008 2:23 PM:

    " Payday lenders are not the predators. In my neighborhood alone, I know of five families going through foreclosures, and payday lenders had nothing to do with it. And instead of going after fraudulent mortgages companies, Goddard's gonna focus on low lying fruit. "

    Ronald wrote on Oct 29, 2008 6:05 PM:

    " Where is Mac Donalds? Is that next to The Wall Mart? "

    MacDonald Bill wrote on Oct 28, 2008 8:05 PM:

    " I went to Willcox a while back went to Mac Donalds wanted just a hamburger could not make the girl behind the counter undertand what I wanted. Finally I gave up because she could understand "Uno", I got a number one meal, paying for more than I wanted. I think every employee in there was an illegal. No wonder Big Bill is for open borders. "

    Early Voter wrote on Oct 28, 2008 1:23 PM:

    " I voted early and voted NO on Prop 200. Payday loans are a scam. "

    Hmmm you have to wonder wrote on Oct 28, 2008 9:08 AM:

    " When someone feels compelled to use the phrase, 'to tell the truth' (and then proceeds to explain something), you have to wonder what they've been telling you all along? "

    Ask him about it wrote on Oct 28, 2008 8:55 AM:

    " Maybe Konopnicki's never consulted with Nathan Sproul about Proposition 202 or his congressional run. Perhaps the campaign financial reports hold the answer to that one.

    We do know that Konopnicki fully supports 202 and opposes the current employer sanctions laws because he supports an open border and an amnesty program for cheap labor for his special interest backers. "

    Bonita Bob wrote on Oct 28, 2008 8:48 AM:

    " Voting yes on Prop 200 will renew the payday loan industry - voting no will simply let the whole thing expire and sunset.

    Just because Nathan Sproul wrote Prop 202 doesn't have anything to do with Konopnicki's support of the measure and his opposition to Arizona's present employer sanction laws, does it. "

    To tell the truth wrote on Oct 23, 2008 2:20 PM:

    " Bonita Bob only THINKS he know the story. McClure and Konopnicki are opposing prop 200.This is being funded by an out of state group that run's Pay-Day-Loans. Also prop 202 was written by Nathan Sproul.

    So much for Bonita Bob's know it all writing. "

    Ann wrote on Oct 23, 2008 1:12 PM:

    " 100 are the ones put on by the legislature..

    200 are the ones that require signatures to get to the ballot , usually by paid circulators.

    300 is put on the salary review commission. "

    tim r wrote on Oct 23, 2008 12:39 PM:

    " Vote NO on Prop 202.
    It's a SHAM "

    Patrick wrote on Oct 23, 2008 9:08 AM:

    " I am the son of someone who works for a company in the payday loan industry and I have not seen these interest rates occur. The fact that it is called "predatory lending" is just wrong. The payday loan industry has helped many americans survive off of what little they have. Coming from the "yes" side of The Payday Loan Reform Act, I can easily see both aspects of this proposition; the good and the bad. I tell you that as an informed person, I would vote yes on prop 200; unbiasedly. Get all the information possible first "

    Question wrote on Oct 23, 2008 8:38 AM:

    " So, I have a couple questions regarding this issue: Are you suggesting that legislature leaves an unargueably harmful loan system alone? How does this qualify as a special interest? Are the "people" behind this legislation profiting from this? If so, can you prove it with SPECIFICS please?

    And finally general comment... as for "special interests", how do you know that these propositions isnt the will of the constituents that the elected official (of any party affiliation) represent? What if their "special interest" is what their district/region wants? Hmmm? "

    JEM wrote on Oct 23, 2008 7:29 AM:

    " It is time someone came up with a real market solution to the payday loan problem. New innovation has finally come to the point where that can happen.

    I found a new peer-to-peer payday loan platform at http://www.yadyap.com. They allow people to lend other people a payday loan. The bidding system will get the rates down as low as possible.

    It seems like a real solution as opposed to all of the arguing and legislation. "

    Bonita Bob wrote on Oct 22, 2008 5:06 PM:

    " This is how it works: When the legislature doesn't get a bill passed they want (like Konopnkcki's guest worker bill), they put the item on the ballot as a proposition before the voters. Usually the 200 and 300 series propositions are those placed on the ballot by the legislature. Proposition 202 is in fact Konopnicki's handy-work. He's hoping you don't actually read the existing employer sanction law (but buy his bull). Just like Marian McClure, this is how they operate in Phoenix when they fail to get something their special interests want passed. "

    Bonita Bob wrote on Oct 22, 2008 5:02 PM:

    " Aimee you're right on target, Prop 200 is ballot slight-of-hand.

    But what everyone doesn't know is that Corporation Commission candidate (and ex-member of the legislature, and good friend of Konopnicki) Marian McClure is one of the people behind Prop. 200

    So, please leave the space next to Marian McClure on the ballot blank. "

    Befuddled wrote on Oct 22, 2008 4:01 PM:

    " Early Ballot voter, I voted no on prop 200 "

    NoProp200 wrote on Oct 22, 2008 1:03 PM:

    " It's great to see people can cut through the deception of the payday industry's campaign!

    They've event taking to attacking themselves in trying to trick voters into protecting their outrageous interest rates!

    At the end of the Prop 200 will allow this predatory system to continue a business model that thrives on creating debt!

    Get more info at www.200isnoreform.com "

WRITE A COMMENT

READER COMMENTS
* Be respectful of others, the writer and the subjects in the story.

* Be relevant. Keep your comments pertinent to the story that is being discussed.

Comment posters are responsible for the opinions they express and the accuracy of the information they provide. We urge comment writers to treat this as a public forum where manners matter. We encourage a collegial, non-insulting tone. All reader comments must be approved by our staff before posting to the Web site. Be aware, in accordance with the Communications Decency Act and provisions upheld in judicial appeal, that you are responsible for comments posted on this Web site. The Eastern Arizona Courier is not liable for messages from third parties. IP addresses can be subpoenaed and your identity established by individuals who have been hurt by your comments.

DO NOT POST:
* Potentially libelous statements or damaging innuendo.
* Obscene, explicit, or racist language.
* Personal attacks, insults or threats.
* The use of another person's real name to disguise your identity: You can be prosecuted for identity theft.
* Comments unrelated to the story.

Opinions, advice and all other information expressed in www.eacourier.com reader comments represent the individual's own views and not those of the Eastern Arizona Courier. The Courier does not endorse and is not responsible for statements, advice or opinions offered by anyone other than Eastern Arizona Courier spokespersons.

Thank you for your comments!

(optional)
Current Word Count:
   



More Enhanced Listings >>

Classifieds


Copper Era
1 Wards Canyon
Clifton, AZ 85533
928-865-3162