[ikka]

The bill would require loan shops to enter customers' identities into a state-wide database.

Why?

[Abathar]

""The bill would require loan shops to enter customers' identities into a state-wide database.
Why?""


To keep people from going to 14 loan stores to get around the law that says you have to wait 14 days to get another loan if you roll it over. basically they are trying to protect people who otherwise are just digging themselves deeper every week until they can never get out.

[righttackle44]

The bill would require loan shops to enter customers' identities into a state-wide database.

Why?

I used to work for a small loan company. All loans were entered into a common database through the local lenders'
exchange organization, and, when a customer completed a loan application, the first thing we did was to check with lenders' to see if they had other loans out.

What the database was for was to prevent banks and small loan companies from lending people more money than they could afford to pay back. You could be fined if the state found your company was pyramid lending.