Law360 (4, 2020, 6:42 PM EST) — Voters in Nebraska on Tuesday overwhelmingly approved a ballot measure to establish a 36% rate cap for payday lenders, positioning the state as the latest to clamp down on higher-cost lending to consumers november.
Nebraska’s rate-cap Measure 428 proposed changing their state’s guidelines to prohibit certified “delayed deposit services” providers from charging you borrowers yearly portion prices greater than 36%. The effort, which had backing from community teams as well as other advocates, passed with nearly 83% of voters in benefit, in accordance with a tally that is unofficial the Nebraska assistant of state.
The end result brings Nebraska consistent with neighboring Colorado and Southern Dakota, where voters authorized comparable 36% rate limit ballot proposals by strong margins in 2018 and 2016, correspondingly. Fourteen other states and also the District of Columbia likewise have caps to suppress lenders that are payday prices, in accordance with Nebraskans for Responsible Lending, the advocacy coalition that led the “Vote for 428” campaign.
That coalition included the United states Civil Liberties Union, whoever nationwide governmental manager, Ronald Newman, stated Wednesday that the measure’s passage marked a “huge success for Nebraska consumers while the battle for attaining financial and racial justice.”
“Voters and lawmakers around the world should take notice,” Newman said in a declaration. “we have to protect all customers because of these loans that are predatory assist shut the wide range space that exists in this nation.”