Payday lenders keep getting names to make ballot

A coalition of payday lenders has continued to collect signatures around Ohio as it acknowledges it will likely fall short of the 241,366 signatures it needs to make the November ballot.

The group, Ohioans for Financial Freedom, turned in about 422,000 signatures at the end of August, but a number of large counties are reporting that 50 percent or more of those names are being tossed out as invalid. In addition, signatures collected by California-based Arno Political Consultants, which may total 15,000, could be tossed out because the company’s supervisors did not file the proper paperwork with the secretary of state.

A settlement on the Arno issue is in the works, and the Vote Yes on 5 committee said it expected to make an annoucement Friday. But even if those names are tossed, the Yes on 5 committee that is opposing the payday lenders’ attempt to partially overturn new restrictions on short-term loans expects the lenders will probably come up with enough additional signatures to qualify for the ballot. They get up to 10 days after petition signatures are certified to collect additional names, though that process has been ongoing.

If it makes the ballot, a “yes” vote would restrict payday loans to a 28-percent interest rate under House Bill 545, or the 28 percent plus a $15 origination fee under the current Small Loan Act. A “no” vote would allow lenders to charge a 391 percent annualized interest rate ($15 per $100 on a two-week loan).

Source:http://blog.dispatch.com