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Missouri lawmakers look to change short term loan industry

May 09, 2012 Philip Burgess

Missouri lawmakers look to change short term loan industry
Considering short term lending options is something that many people go through to cover emergency expenses that pop up unexpectedly. From medical emergencies to car troubles, these types of loans are something that could benefit people from all walks of life who need fast cash. Yet in Missouri, lawmakers are trying to get measures limiting these borrowing options on the November ballot.
 According to the Associated Press, politicians in Missouri want to raise the state's minimum wage up to $8.25 per hour from $7.25, while stopping short term loan interest, fees and other charges at 36 percent of the loan amount. Kansas City-based KMBC-TV reported supporters were able to submit their petition by the deadline on May 6, with 180,000 signatures. According to the source, however, the validity of a number of these backers may be called into question. Because of the wording in the measure's summary, in April, a state trial judge ruled the language and cost estimations had to be changed, and that signatures garnered at that time could not be used, KMBC-TV reported. Attorneys for those contesting the measure expressed that they did not think all of the names appearing on the proposition submitted Sunday were valid.