A bill that limits the number of payday loans a borrower can take out a year is one signature away from becoming law in Delaware.
House Bill 289 sailed through the Senate and is now on its way to Gov. Jack Markell’s desk for his signature. The measure limits borrowers to five short term consumer loans up to $1,000 a year. HB 289 also establishes a statewide database for licensees to document the number of loans taken out.
On the Delaware House Democratic Caucus’ facebook page, several comments praised Rep. Helene Keeley, D-Wilmington South, the bill’s prime sponsor. However, there were some dissenting opinions. One comment read, “It’s a horrible Bill, it’s not supposed to be the State’s role to get invoved in private transactions,” while another commented, “I think we should limit the number of laws that the legislature can pass in one year.”
The State Bank Commissioner says there are about 70 licensed payday lenders with about 200 brick and mortar shops located throughout Delaware.
“First” ran a story about payday loans last month. You can watch it below: