Liberty’s Work To Regulate Lenders Generates More Interest

Liberty’s Work To Regulate Lenders Generates More Interest

City Court Filing Defends Ordinance; Business Says It Varies From Payday Lenders

The town of Liberty contends this has the ability to control companies that participate in high-interest financing, even in the event those continuing organizations claim to stay a course of loan providers protected by state legislation.

The Northland city defended a recently enacted ordinance as a “valid and lawful exercise,” and asked that a judge dismiss a lawsuit brought by two installment lending companies in a recent legal filing.

Liberty this past year became the most recent of a few Missouri urban centers to pass through an ordinance managing high-interest loan providers, whom run under one of several nation’s most permissive pair of state guidelines. The neighborhood ordinance describes a high-interest loan provider as a company that loans money at a yearly portion price of 45{6dd60fa502fc498728612f02b1d1a2beab99874f271b73d46d1d92b3b6fbeaa6} or more.

After voters passed the ordinance, which calls for a yearly $5,000 license charge and enacts zoning restrictions, the town informed seven companies that they must apply for a permit if they meet the conditions laid out in the ordinance.

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