Payday Loans Topic of Two Town Hall Meetings This Week

As the DC City Council gets set to vote next week on reeling in payday loan sharks, two town hall meetings this week will focus on the debate over payday lending in the DC. The Washington Informer will host a meeting on Wednesday night and the Afro-American Newspaper will hold a forum on Thursday evening. Community activists, residents, and payday loan representatives will speak and take questions at both events, which are free and open to the public. News Channel 4 will also run a two-part series on Wednesday and Thursday at 11P on the payday debate. In July, the DC Council voted 12-0 on a first vote for the Payday Loan Consumer Protection Act, which would put a cap on payday loan interest rates. The bill has been endorsed by over 30 organizations - including the Metro Washington Council AFL-CIO - and dozens of individuals and clergy members. Currently, "payday lenders in the District can charge up to 550% interest, trapping low-income households in debt," says the Center for Responsible Lending. "The payday loan industry is doing everything they can to stop the passage of this legislation," say Metro Washington Council President Jos Williams. "But the basic issue still remains that this bill would end the exploitation of the working poor, particularly non-union workers, who turn to payday lenders in times of need, then find themselves unable to pay back the exorbitant interest."