Payday Loans Quiz

1. Missouri Division of Finance regulates payday lenders.

b. INCORRECT

True. The Missouri Division of Finance regulates payday lenders, however, consumers in Missouri still pay extremely high interest rates, reaching upwards of 400 percent in many cases.

References:
Missouri General Assembly. (n.d.). Missouri Revised Statutes, 408.505. http://www.moga.mo.gov/statutes/C400-499/4080000505.htm.

Missouri Attorney General Jay Nixon, Attorney General’s News Release: Nixon Reiterates Call for Reform in Payday Loan Industry in Missouri After Report Cites Average APR of 422 Percent. February 16, 2007, http://ago.mo.gov/newsreleases/2007/021607.htm.

University of Missouri Extension (n.d.). Small Business Development Centers Web site. http://www.missouribusiness.net/sbtdc/industry/payday_loan_company.asp.