Over the weekend when I was getting the mail I noticed that there was an envelope from the county. In it contained the information about the propositions that will be voted on in the upcoming general election. One thing in particular stood out because of its effect on people here in the state of Arizona which is Proposition 200 which is known as the payday loan reform act.
A YouTube account I found under the name "AZSecState" created some videos which seem to show a debate introducing the proposition and then having people discussing voting for or against the proposition.
Here a video discusses the background of the proposition and what the effects it can possibly have on the state and the people who use payday loans.
Now here is a man named Stan Barnes who is voting for the proposition because of the effects it will have on families who choose to use them. The main question in this proposition is whether to keep the payday loans or eliminate them completely.
Finally here is a woman named Debbie speaking against the proposition and mentions that the current law regarding payday loans, which is set to end on July 1, 2010, would bring about the Consumer Loan Act being reinstated and 36 percent interest rates becoming the law of the land again.
So this brings about an interesting topic because of how many payday loan businesses there are in the city. Voting yes on the ballot would extend the payday loan industry, eliminating the July 2010 date that would end the state's licensing of these businesses. Voting no would basically shut down the legal payday loan keeping the July 2010 in effect.
If these payday loan places were forced to shut down, an Arizona Daily Star article mentioned that over 100 empty stores would be found all over the city. It could lead to higher rates to rent the buildings and could leave many vacancies in low income areas.
It will be interesting to see how the voters look at this issue and what effect the payday loan industry would have on Arizona, and Tucson in particular, if they were forced to leave in 2010.
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A NO vote on 200 is the way to go.
Proponents of Prop 200 (a.k.a. the payday lending industry) have poured MILLIONS of dollars into Arizona to try and deceive voters about what this initiative would really do. Don’t believe their hype.
Letting the payday lending industry continue to have its way with hardworking Arizona families would be far more detrimental to our economy. Right now, tens of thousands of Arizona families are trapped in a cycle of payday debt they will never be able to dig themselves out of. What’s more, payday lending costs Arizona families nearly $149 million each year – and much of that money doesn’t get reinvested here in Arizona, instead it flows out-of-state where many of these big payday lending companies are located.
Vote No on 200 this November 4th: www.200isnoreform.com.
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