COLUMBUS, Ohio – Lawmakers tightened restrictions on payday lenders last week, setting a maximum allowable annual percentage rate at 28%, lower than the cap being sought in other states.
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That compares to 36% set in New Hampshire last month, and being sought in other states.
The current Ohio law allows payday lenders to charge a fee of $15 for every $100 borrowed for a term of 14 days. The APR calculation on that is 391%.
Ohio Gov. Ted Strickland said he will sign the bill into law.
