Thoughts 24 Mar 2007 09:20 am
Buckley pt 2
I have attached a link to a pdf file of the bill on “high interest loans” as it will be presented to the committee.
Remember that she says she has an amendment she will present later.
Something that someone pointed out to me is that among others, pawnbrokers are exempt unless they do defered deposit, title loans, and others types of loans, but somewhere in there it just exempts them, we may have misread something, but this sounds like your typical bill, it says two different things and everyone gets to wait for an opinion from the state AG’s office.
(Did you know that such opinions are just opinions, and hold no weight under law, nor can the AG be held responsible for bad opinions, in spite of the fact that this is how many laws are interperted.)
Ok, I reread the bill, it seems that a pawnbroker can’t do high interest loans under his pawnbroker’s license, but they can apply for a 604 and operate under the same roof. (Strange, I didn’t think a pawnbroker could do any kind of unsecured loan under a pawnbroker’s license.)
Sometimes these things are not as confusing as they seem. All you need to do is follow one aspect at a time, thankfully Adobe has a search function, and when you’re finished, you’ll still be confused, but on a smaller number of subjects.
One thing that bothers me is the military provision, this includes people in the reserves and their families, how is the lender to know if these people are in the reserves or the guard? People lie, and there’s no way that I know of to check. It sounds to me like a another way to screw the lender.
Not that it matters, a bill that was recently passed on the federal level prevents anyone from charging more than 36apr to members of the military or their families.