WASHINGTON—The Pew Charitable Trusts today praised the Ohio General Assembly for sending a bipartisan payday loan reform measure to Governor John Kasich (R) for his signature. On Tuesday, the House concurred with the Senate’s amended version of H.B. 123 by a 60-24 vote.
The bill, now known as the Fairness in Lending Act, is the culmination of years of research and debate, and achieves the three mainstays of safe small-dollar lending: lower prices, affordable payments, and reasonable time to repay. It also includes crucial provisions to balance the interests of consumers and lenders, ensuring that borrowers will continue to have widespread access to credit.
Nick Bourke, director of Pew’s consumer finance project, issued the following statement:
“We appreciate the Legislature’s hard work, commitment, and bipartisan collaboration in crafting this landmark reform. The well-balanced and fair-minded measure will ensure that borrowers continue to have access to credit and will prevent the cycle of debt that has harmed hundreds of thousands of Ohioans. It will also boost the state’s economy by saving consumers tens of millions of dollars annually.
“We urge Gov. Kasich to act swiftly to sign the bill and complete a process that will protect families and make Ohio a national model for states with payday lending.”
More information on small-dollar loans is available at www.pewtrusts.org/small-loans.
The Pew Charitable Trusts is driven by the power of knowledge to solve today’s most challenging problems. Learn more at www.pewtrusts.org.