Better payday loans: Oklahoma allows borrowers to opt out of lenders’ fees
OKLAHOMA CITY – Oklahoma Governor Mary Fallin on Tuesday signed legislation allowing borrowers to withdraw their funds from payday lenders without having to pay fees.
The bill also eliminates fees for payday lenders, eliminating them as an option in most cases.
Oklahoma is the first state in the nation to allow borrowers to take their money out of payday lenders by opting out.
The legislation requires borrowers to send in their request for the opt-out by March 31, 2018, and it also removes the option to opt-in at the time of filing the paperwork.
“Oklahoma families will be able to keep their money in the hands of the people they trust and rely on,” Fallin said in a statement.
“This bill allows Oklahomans to keep more of their money, so they can spend it on essentials, like groceries and housing.”
Oklahoma, which has the second-highest poverty rate in the country, has been struggling to keep its economy afloat amid low oil prices.
Oklahoma has a median household income of $35,000, well below the national average of $50,000.
The poverty rate is higher in some rural areas and some cities.
Oklahomians also have higher rates of medical debt and other types of debt.