Bail Cash from Borrowers
Debtors prisons had been prohibited by Congress in 1833, however a ProPublica article that revealed the sweeping abilities of high-interest loan providers in Utah caught the eye of just one legislator. Now, heвЂ™s wanting to do some worthwhile thing about it.
Feb. 14, 5:17 p.m. EST
Series: This New Debtors Prisons
just just How businesses are placing borrowers behind pubs
ProPublica is just a nonprofit newsroom that investigates abuses of energy. Subscribe to get our biggest tales the moment theyвЂ™re posted.
A Utah lawmaker has proposed a bill to quit high-interest loan providers from seizing bail funds from borrowers whom donвЂ™t repay their loans. The bill, introduced when you look at the stateвЂ™s House of Representatives this week, arrived in reaction up to a ProPublica research in December. The content revealed that payday loan providers as well as other loan that is high-interest regularly sue borrowers in UtahвЂ™s tiny claims courts and make the bail cash of the that are arrested, and quite often jailed, for lacking a hearing.