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Your Voices Were Heard! SB 613 Dies in the House

15 Apr 2019 7:00 PM | Anonymous

Thank you so very much for speaking up in support of Hoosier consumers and communities! Your voices were heard and SB 613 has died.

Due in large part to your outreach, testimony, meetings, calls and emails, lawmakers stood with a broad coalition of veterans, faith leaders, community and social service organizations by choosing not to call SB 613 to the floor on the third reading deadline, killing the bill. 

Please join us in thanking legislators who opposed this measure throughout session. We look forward to working with lawmakers to discuss reforms to high-cost loan products that exploit Hoosiers facing housing and financial hardship, as well as ways to foster sustainable alternatives.

As a reminder, SB 613:

  • Would have kept the current payday loan product and allowed the same lenders to make 6-9 month installment loans of up to $1500 to even lower-income borrowers at 167% APR, taking access to bank accounts directly to collect monthly payments. 
  • Would have authorized a brand a new “Chapter 8” product at 72% interest plus the pre-paid finance charge, for $3000 up to 36 months with no limits on how many times the loan could be renewed or how many loans someone can have, a model we have seen is problematic in other states.
  • And it would have increased costs across the board for conventional loans, like car loans, by increasing the max interest rate from 25% to 36% for loans of ANY SIZE and doubling the pre-paid finance charge allowed (from $50 to $100).
Prosperity Indiana
1099 N. Meridian Street, Suite 170
Indianapolis, IN 46204 
Phone // 317.222.1221 
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