Category Archives: a pay day loan

Initiative 428: a achievement that is historical. The road that is long customer defenses in payday lending

Initiative 428: a achievement that is historical. The road that is long customer defenses in payday lending

this website post is in collaboration with Tori Ostenso, Economic Justice community organizer and Bhagya Pushkaran, Economic Justice intern.

Over 700,000 Nebraskans, or higher 83%, voted FOR Initiative 428 into the 2020 election to reform pay day loans and limit interest at 36% APR (annual percentage rate) (1, 2). , This landslide triumph over predatory financing techniques in Nebraska lead from years of appropriate research, policy advocacy, and community organizing in their state and level that is national.

In this web site, we’re looking straight right back at over a decade’s worth of advocacy efforts to manage the payday financing industry so that you can appreciate the importance for the Initiative 428 victory and appearance ahead at what to anticipate as Nebraska implements the brand new measure.

Although we, at Nebraska Appleseed, have worked to get rid of poverty since our founding, our participation in payday financing reform started in 2008. We supported a few legislative bills reforming lending that is payday Senator Amanda McGill (3) and Senator Danielle Conrad. Neither of these bills managed to make it away from committee. (4) last year, Senator McGill’s bill (5) was reintroduced yet still failed to ensure it is away from committee.

In 2014, we renewed our focus around payday financing reform and started researching payday financing reforms in Nebraska. The following year in collaboration with a diverse Nebraska coalition to address the issue, we also worked closely with a national partner, Pew Charitable Trusts, to craft a Nebraska specific legislative payday lending reform bill.

This work culminated in LB1036 (2016), that was introduced by Senator Kathy Campbell. (6) to show the payday lending industry’s effect on low-income borrowers, Economic Justice system organizers Tori Ostenso and Kait Madsen carried out a focus number of pay day loan borrowers in Norfolk, NE. Continue reading →