Governor Jay Nixon vetoed two bills on regulation of payday loan industry

Gov. Jay Nixon vetoed two bills today that some thought would regulate the payday loan industry in Mo.

On the surface, the legislation looks like more oversight and information for people who accrue massive amounts of debt from payday loans.

Gov. Nixon doesn’t see it that way. He vetoed Senate bills 694 and 866.

Bill 694 would have, in part, put a cap at just more than 900 perfect on a 14-day payday loan. Nixon said that’s not exactly meaningful reform.

Victim of payday loans Elliot Clark agrees.

“I’m a proud marine. I did my time in the Marine Corps. I’m a disabled veteran and for me to have to put myself out there to say I need this type of money, I need some help and then everybody turns their back on me, that’s very hard,” Clark said.

Bill 866 would have created a new term, a “traditional installment lender.” Nixon believed it would have put a damper on local government oversight.

Even those like the CCO who advocate for oversight say this veto was a good idea.

“To us, a 900 percent cap is meaningless. That’s not reform, and as Gov. Nixon said today, that’s a sham. It’s not true reform,” John Miller of Communities Creating Opportunity said.

41 Action News reached out to the author of these bills and did not hear back. 

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