ACTION ALERT: TELL THE HOUSE FINANCIAL INSTITUTIONS COMMITTEE TO VOTE NO ON HB1340
The House Financial Institutions Committee is hearing HB 1340 tomorrow January 27th at 3:30 PM that would allow dangerous new high-priced installment loans in Indiana.
Contact members of the House Financial Institutions Committee and ask them to vote no on this bill.
Call 800-382-9842 or email your local legislator. If you are not sure who your legislator is, please visit this website.
House Bill 1340 seeks to double down on the dangerous payday lending industry and allow larger, higher priced installment loans. With annual percentage rates (APR) up to 320%, these new loans put borrowers at risk of falling into the debt trap - a cycle of unaffordable borrowing to cover budget shortfalls after repaying an exorbitantly expensive loan. For a borrower taking out the maximum allowable amount ($2,000), he or she would have to pay 20% interest on the origination amount each month of loan's 12 month duration. This repayment structure adds up to a hefty $4,800 in interest over the course of loan. When combined with the principal, someone taking out a $2,000 will have to repay $6,800 during the year, well beyond what most borrowers can afford. As it stands, the payday lending industry exploits borrowers, bilking hard-earned money from working families. Why should we allow the industry to further drain resources from people already in a financially precarious position?
Urge members of the House Financial Institutions Committee to protect Indiana consumers by voting no on HB 1340. To learn more about payday lending in Indiana, read this policy brief written by IIWF. Also, see IIWF's new blog post:
Horror! A New Payday Loan Monster is Proposed in Indiana".
What You Can Do:
Contact members of the House Financial Institutions Committee listed below and ask them to vote no on this bill. Call 800-382-9842 or email to contact your local legislator. If you are not sure who your legislator is, please visit this website.
Ask: Call Committee members
Key Message: Vote NO on HB 1340! Because Hoosiers can't afford to risk falling into the debt trap with these dangerous high-priced loans.
Woody Burton - 317-232-9648 (Chair) (Johnson)
Robert Heaton - 317-232-9671 (Vice-Chair) (Clay, Monroe, Owen, Vigo)
Justin Moed - 317-232-9834 (Ranking Minority Member) (Marion)
Greg Beumer - 317-234-9447 (Delaware, Jay, Randolph)
Wes Culver - 317-232-9678 (Elkhart)
Richard Hamm - 317-232-9769 (Wayne)
Sharon Negele - 317-232-9816 (Benton, Fountain, Jasper, Newton, Tippecanoe, Warren, White)
John Price - 317-232-9769 (Johnson)
Donna Schaibley - 317-234-2993 (Boone, Hamilton)
Thomas Washburne - 317-232-9863 (Gibson, Knox, Pike, Posey, Vanderburgh)
Philip GiaQuinta - 317-233-5248 (Allen)
Gail Riecken - 317-234-9048 (Vanderburgh)
Robin Shackleford - 317-232-9798 (Marion)
Photo credit: "Payday loan shop window" by Gregory F. Maxwell <firstname.lastname@example.org> PGP:0xB0413BFA - Own work (Original caption: “By Uploader”). Licensed under GFDL 1.2 via Commons goo.gl/LXkIX6