The state Senate tackled the politically charged issue of payday loans Wednesday night, spurning attempts to create databases and to limit borrowing.
Debate on House Bill 766 triggered a flurry of amendments as legislators made one last effort to put limits on an industry that makes thousands of small loans each year in Louisiana. Efforts were made to create a database to track the lenders’ business portfolios and to limit the number of loans that borrowers can make each year. Each effort died, although not quietly.
On a 28-10 vote, the Senate returned HB766 to the House for concurrence on minor changes. The measure would force online lenders to play by the same rules as lenders with brick-and-mortar locations in Louisiana, making them subject to state regulations.
State Rep. Ted James, D-Baton Rouge, proposed the addition to the proposed Louisiana Consumer Credit Law legislation.
“It’s a very modest request to try to help some of our constituents who have been trapped in the debt cycle,” said James.
But the House 51-37 voted against the change, then approved Senate Bill 241 on an 89-1 vote.