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ANDY CHOW / STATEHOUSE NEWS BUREAU

The Ohio Senate is introducing changes to a payday lending crackdown that passed the House by a big margin. Supporters of the legislation say it will help shutdown predatory lending and a cycle of debt.

The Senate's changes raise the maximum payday loan amount to $1,000. The bill also caps the principal and fees on those loans at 7% of the borrower’s monthly income, and says total costs, meaning fees and interest rates, cannot be more than 60% of the original loan.

House committee meets to discuss payday lending reform bill, HB123, as Rep. Kyle Koehler (R-Springfield) presents his proposed changes.
Andy Chow / Statehouse News Bureau

Ohio House Republicans balked at passing a bill to reform the payday lending industry just hours after the top Republican leader stepped down amid an FBI inquiry. Sources suggest that inquiry is tied to inappropriate contact with payday lobbyists. The bill was slated for a vote before some House leaders slammed on the brakes.