Initiatives that would cap payday loan interest rates, raise the Missouri minimum wage, and raise the state's tobacco tax are a step closer to the November ballot, after a Missouri Supreme Court ruling yesterday. The three initiatives were tied up for months in court – one judge struck down the payday petition, ruling the ballot summary was "likely to deceive petition signers." But yesterday, the Missouri Supreme Court upheld all three ballot summaries.
A Missouri judge has dealt a setback to supporters of a ballot proposal that would limit interest rates on payday loans. Cole County Circuit Judge Dan Green ruled Thursday that the ballot summary and financial estimate for the initiative are "inadequate" and "unfair" and "likely to deceive petition signers."
Missouri is fertile ground for payday lenders. With some of the loosest regulations in the nation, we are among the states with the most payday lending stores per capita. In this Health & Wealth report, the payday lending industry in Missouri fights for its life, as activists aim for the November ballot to try to rein in these lenders they say trap the working poor in a cycle of debt.