Change would limit payday loan shops in DM - KWWL - Eastern Iowa Breaking News, Weather, Closings

Change would limit payday loan shops in DM

Posted:

DES MOINES (KWWL) - Two Des Moines City Council members want to limit the number of payday loan shops across the city.  City council members Christine Hensley and Brian Meyer have asked city attorneys to look into zoning changes for the shops.  The changes would restrict how many shops could open in the same district. City officials won't say how many of the shops there are.  Meyer says payday loan stores prey on poor people and set up in poor neighborhoods.  He says he wants the state to limit the interest rate that lenders can charge customers.  Experts say the interest rates on the loans typically range from 390 to 700 percent.  The shops lend money to customers that they're expected to repay when they get their next pay check.

Online Reporter:  Bob Waters

Powered by Frankly