LBP Releases Payday Lending Fact Sheet

Louisiana Allows Lenders to Charge up to 1,043% APR

LBP releases a payday lending fact sheet with key statistics about the impact of predatory lending on working families. Louisiana has one of the highest concentrations of payday lenders in the country, which undermines many of the successful anti-poverty policies.

Poor state regulations allow lenders to charge up to 1,043% APR for a $50 loan, and 782% APR for a $100 loan. Working families in Louisiana pay an estimated $205 million in fees per year, money that could be spent in more productive ways such as paying off other debt, investing in education, or owning a home.

Read the fact sheet here. For more information, see the 2011 LBP report, “Payday Lenders: Trapping Louisiana’s Working Families in a Cycle of Debt.”

 

The governor's plan will mainly benefit corporations and the wealthy, while working and middle-class families will pay more for services and products we use every day such as diapers, garbage collection, haircuts and home repairs. Louisiana’s tax system certainly needs to be improved, but this is the wrong way to do it.
Gov. Jeff Landry has called the Legislature into a special session to overhaul Louisiana’s tax structure.