Contact your Senator today by using the form below, and ask them to protect South Carolinians from harmful predatory lending practices. You can use the sample message in the form below, you can edit the sample message and personalize it, or you can delete the message and send your own, unique message through the form!
The SC Legislature passed reforms to protect borrowers in SC in 2010, but the lenders have found ways around that legislation. Passing legislation to curb predatory practices is the best way to ensure that borrowers in SC are not caught in a never-ending cycle of debt.
Legislation to rein in predatory lending practices will keep hundreds of millions of dollars in the pockets of South Carolinians, as opposed to going into international holding companies and venture capital companies outside of SC that are currently reaping the profits. We want to keep those funds in the pockets of South Carolinians so that they can build financial independence and have more disposable income to spend in our state.
Predatory lenders target anyone with a regular check coming in – even if it is a social security check or a disability check. We want to protect our seniors, veterans, and disabled neighbors from being lured into an endless cycle of triple digit debt that they can never repay. Payday lenders get access to a borrower’s checking account and draft their payment as soon as the check is deposited – regardless of how many other bills the borrower must pay (like rent and utilities).
Predatory lenders are generating a debt trap that creates a cycle of dependency in our state. The financial devastation brought about by payday, auto title and high-cost installment loans is deeply impacting children when the family car is repossessed, or the family loses their housing because high-cost loan payments are not leaving enough for rent.
Installment lenders in our state frequently renew loans after a borrower has made 3 on time payments. Installment loan payments are front end loaded with interest and every time a loan is renewed, additional fees are added. When renewals are made over and over again, the monthly payments made by a borrower go to pay interest and fees and do not reduce the principal amount of the loans. Borrowers are kept perpetually in debt.