Payday Lender Sues South Dakota, Claiming 36% Interest Rate is too Low

‘The payday loan business, long known for taking advantage of its customers by putting them in a never-ending debt cycle, claims a proposed South Dakota ballot initiative might put them out of business in that state.

South Dakotans for Responsible Lending is gathering signatures to put a question on the November 2016 South Dakota ballot that would limit the interest charged by payday loan outfits to 36% per year. Payday lenders are crying foul, saying rates that low would force them out of business. The average interest rate on a South Dakota payday loan now hovers around 574%.’

Read more: Payday Lender Sues South Dakota, Claiming 36% Interest Rate is too Low