Caddo Commission Says 'No' to New Payday Lenders

Caddo Parish Commissioner Steven Jackson talks with 101.7 / 710 KEEL's Robert J Wright and Erin McCarty about his just passed legislation placing a moratorium on new "payday" loan stores.

The legislation, which passed 7 to 4, does not affect businesses currently in operation or permits for new pawn shops.

Jackson tells KEEL listeners that the Commission wants to study how "payday" lenders affect their communities before issuing any new permits.

More details from ksla.com:

" (Jackson's) Resolution No. 50 says payday loan shops offer predatory lending rates that are dangerous to lower-income people. It suggests that high-interest loans contribute to poverty.'

"Caddo Parish has no payday loan shops. However, there are many within Shreveport’s city limits.'

"Jackson says his measure would not put any payday loan or pawn shops currently operating out of business.'

"Jackson feels these type of shops tend to saturate areas that don’t have traditional banks. He wants to ensure that doesn’t happen."

The Commission must now take the ordinance to the Shreveport City Council for a vote.