Payday Lending Reform Protects Colorado Consumers

Dramatic decrease in payday loans after implementation of reform legislation.

Dramatic decrease in payday loans after implementation of reform legislation.

This past week, at the periodic meeting of the Council of Advisors on Consumer Credit, representatives of the Colorado Attorney General's Office presented encouraging statistics about the number of payday loans in Colorado. Since passage and implementation of reform legislation in 2010, the number and dollar amount of payday loans has dropped drastically. Importantly, interest rates have been capped and repayment periods extended such that each payday loan now consumes a significantly lower percentage of a borrower's paycheck.

The Denver Post recently published an article about Colorado's nation-leading reform and its effect on consumers in Colorado, "Colorado was Out Front in Payday Lending Reform."

I am proud to be part of the implementation of this important reform legislation, both as Deputy Legal Counsel to Governor Ritter and as a Governor Hickenlooper appointee to the Uniform Council of Advisors on Consumer Credit. These and other reforms profoundly affect consumer's lives. That is why the Lyda Law Firm is committed to protecting Colorado's consumers.