As a member of the Ohio Senate and then as Attorney Genera,l I found myself constantly fighting to protect consumers form high interest short-term lenders. Like water flowing around rocks, these predatory lenders keep reinventing themselves and preying on vulnerable financially distressed hard working people.
Like Freddie Krueger in the Nightmare on Elm Street series, payday lenders return reinvented as “car title lenders” or “short term mortgage lenders”. What remains the same are the outrageous interest rates and their brutal collection tactics.
ProPublica Outlines their aggressive legislative tactics that such lenders use to thwart legislative change. They hire the top lobbyists, the force their employees to stage fake demonstrations and they contribute millions to state legislative campaigns. Legislation enacted has been filled with loopholes, ignored or worked around.
Increasingly, it's become clear that the best way to stop these predatory lenders is in court. Anyone who is stuck in the payday loan cycle should record their collection calls, gather their documents and go see an aggressive consumer lawyer.
Marc Dann, a former Ohio Attorney General is a partner in The Dann Law Firms, which include the Ohio Law Firm of Dann, Doberdruk & Harshman, the Oregon Consumer Law Center and PaytonDann in Chicago, Illinois.