Illinois People’s Action urges Bloomington residents to e-mail Mayor Steve Stockton and City Manager David Hales before next Wednesday, June 15 to draft an ordinance capping payday interest rates.
Next Wednesday, the Bloomington city attorney, Todd Greenburg, will meet with the mayor and city manager to tell them that, as a home rule city, the town may legally pass an ordinance that caps the interest rate of payday lenders at 36%. At this meeting, Mayor Stockton, who has shown some support for an ordinance, could decide to direct the city attorney to draw up a draft of an ordinance for Bloomington.
Illinois People’s action, and its supporters, views this as a critical moment to cap payday lending. Before the mayor makes his decision, Illinois People’s Action would like him to receive as many e-mails as possible urging him to give the city attorney the green light to draft an ordinance capping payday lending to 36%.
Some points that Bloomington residents might touch on are:
It is legal in Illinois for payday lenders to charge 400% interest rates. This is bad for our residents, neighborhoods, businesses, churches and municipality:
- Payday lending takes money from those who can least afford it–low- and moderate-income borrowers constitute a disproportionate share of customers.
- Payday outlets lower the property value and increases neighborhood crime.
- Payday takes away money that could be spent in local businesses.
- Churches not only lose money from payday borrowers who can’t afford to put money in the collection plate, they end up indirectly subsidizing payday lenders by paying the bills and providing food for their congregants who are trapped in payday loans.
- Payday leaches money out of our communities and increases crime which strains municipal budgets
Illinois People’s Action also asks that you forward this letter to interested members of your church or organization to ask them to write letters.
For more information, contact:
Illinois People’s Action/CIOP
510 E. Washington St., Suite 309
Bloomington, IL 61701
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