Table1. Prices on payday advances and Regulations to manage Payday Lending
| State | Interest Rate+ | reputation of Meaningful Legislation to manage Payday Lending |
| Arizona | 36 percent* | Has eradicated the Payday Debt Trap Through APR Limits |
| California | 426 per cent | No regulation that is meaningful of Lending |
| Colorado | 214 % | Has Implemented Reforms that Limit but Try not to eradicate the Payday Lending Debt Trap |
| Nevada | 521 per cent | No significant legislation of Payday Lending |
| brand brand New Mexico | 564 % | No significant legislation of Payday Lending |
| Texas | 417 % | No significant legislation of Payday Lending |
| Utah | 443 per cent | No significant legislation of Payday Lending |
+ Source: Center for Responsible Lending
* In June 2000, Arizona legalized payday financing by moving an exemption into the state’s rate of interest limit on little loans. Regardless of the payday lending industry’s efforts to cancel the sunset ( by way of a 2008 ballot measure Proposition 200 “Payday Loan Reform Act”), the sunset went into impact now payday loan providers running in Arizona is only able to charge 36 %.
Possible Policy Solutions
lots of states have actually implemented reforms that are various payday financing services. The silver State’s political leaders may want to explore the following policy options, several of which have been implemented around the country as the Nevada Treasurer’s Office continues conversations with industry representatives and community stakeholders.
- Preserve a state-wide database that contains informative data on the am. Their state of Washington has built a database that is state-wide which all payday financing licensees have to report little loans.
- Assess the effects of capping interest levels on pay day loans in Nevada. Colorado applied a number of reforms, certainly one of that was to cut back interest charges. Read more ›