Rep. Heffley is trying to gut our usury laws

Pennsylvania has one of the strictest laws in the nation against usury (excessive interest).

That’s why we’ve been spared the predatory practices of so-called “payday” lenders who make small loans to working people at interest rates of 300 to 400 percent or more. These loans often drive people into spiraling cycles of poverty.

By some estimates, Pennsylvanians save over $270 million a year in interest by keeping these loan sharks out of our state. But our representative in Harrisburg wants to change all that. Doyle Heffley is trying to sneak a bill through the House Commerce Committee, and then onto the floor of the House, that would create a loophole to enable payday lenders to avoid the interest cap. And he wants to ram it through quietly without any hearings or public comment.

When asked about the bill (HB 2429), Heffley gave a nonsensical response. He said it was “more or less dealing with a language adjustment” and that “it would just clarify the language so that current lending practices won’t be affected by different regulations.” Asked for specifics, Heffley couldn’t answer.

The truth is that Heffley’s bill is not a mere “language adjustment” or “clarification.” It’s actually a brazen attempt to drive a Mack truck through our usury laws and open our state to legal loan sharking. Payday lenders have been peddling similar bills in Pennsylvania for years and Heffley admits that he has met secretly with their lobbyists.

Concerned citizens should contact Mr. Heffley and ask him to start representing his constituents and not special interests like payday lenders.

Steve Hartz

Bowmanstown