Crowd lobbies at Miss. Capitol against small loan rate bill

Crowd lobbies at Miss. Capitol against small loan rate bill

A small crowd gathered at the Capitol today to speak against a bill that would nearly triple the maximum interest rate on small loans.

Under House Bill 1396, finance companies could charge 99 percent interest on loans under $1,500. Mississippi law currently allows companies to charge up to 36 percent on loans of up to $1,000.

“When I first saw (the bill) come across my desk, I thought it was an April Fool’s joke,” said Steve Castell, chairman of the Mississippi Religious Leadership Conference. “That we could go from 36 percent to 99 percent in the poorest state in the country is ludicrous and unbelievable.”

Clarion Ledger
4/2/12