Lawmakers in Kentucky recently passed a bill that reduces competition for payday lenders in Kentucky for the next 10 years. The bill was passed by the Senate by a vote of 32-6.
The bill will go back to the House for further consideration of changes adopted by the Senate. The bill originated in the House as a way to regulate payday lenders in Kentucky by requiring a state database to track payday loans to ensure that Kentucky residents never have more than two payday loans outstanding which total more than $500 at a time.
The bill morphed in the Senate with changes that prohibit any new businesses from offering payday loans in Kentucky for the next 10 years.
You can read more about Kentucky House Bill 444 here.