Last week, Oklahoma State Senator David Holt announced on Twitter that he was pulling Senate Bill 1314 after public opinion came out strongly against the bill, saying he did not feel it would pass. The proposed bill would have allowed companies in Oklahoma to lend up to $3,000 with interest capped at twenty percent per month, which would be $600. Senator Holt indicated he thinks such a loan would be bad for those borrowing but that it should be legal anyway.

Oklahoma Watch – The lending program, known as a flex loan, is similar to payday loans and critics say it can lead to the same results – an endless cycle of debt.

Holt said members of the payday lending industry approached him about writing the bill, SB 1314, in order to avoid pending federal regulations from the Consumer Financial Protection Bureau.

The industry requests align with his goal of less government regulation of private industry, Holt said.

Holt agreed […] → Keep reading