Posted: September 18, 2010 at 1:13 pm

Meet the Opponents of the Cap the Rate Initiative, I-164

Allan Jones - Godfather of loan-sharking.
Photo via Huffington Post

Wonder who could possibly be against a ballot initiative to Cap the Rate on loan sharking?  So did we.

Meet Allen Jones, the godfather of payday lending.

Muscle cars.  Private football field.  Total sexist. A  mouth-breather Midas livin’ the dream.  Unless I-164 passes, this scoundrel and other pay-day loan sharks can drain poor people of everything they have, make millions, and get away with it.  Four hundred percent interest is beyond unfair.  His targets are poor, desperate people who’ve signed away their lives before they know what they’re doing.  There was a LTE in the Gazette recently about him that’s worth reading as well.

The attorney for the opponents is Chris Gallus, a perennial corporate interest-Chamber of Commerce lobbyist who has a history of involvement with shady ballot initiatives that are funded by out-of-state interests that Gallus won’t disclose, such as a proposal to decimate labor unions.

The initiative is expected to pass, but with all the Tea Party activity around turning right-wingers out for the election, it’s gonna need our help.  Go to www.captherate.com to get involved.

26 comments

  1. Farmboy

    We most surely need to pass I 164 its a matter of fairness as in the words of FDR “greed is not only bad morals but also bad economics” and these loan sharks are bad for Montana in fact so bad they had to get a guy from Tennessee to defend them in the Billings Gazette vot YES 164 and 161

  3. MrMike

    Just a thought…

    What about all the internet loan company’s? u know that they charge $15.00 for every $50.00 borrowed?

    Is this law going to affect them in any way? um… no, no its not. What about credit card company’s?

    The only reason i ask this is because I believe that it is unfair to single out just the loan sharks that do pay day advances / title loans. There all crooks, and singling out just one group well its not right nor is it fair.

    It’s like giving a parking ticket to someone parking the wrong direction thats a red car, but not giving one to the car behind it because its blue *(believe me I’ve seen it happen)

    So as i said… Just a thought

  5. problembear

    in answer to mr mike who asked a fair question above. will online payday lenders have to abide by the same laws as other payday lenders in the state of montana if I-164 passes.

    yes I-164, if passed will limit all payday lenders regardless of where they physically do business from charging more than 36% interest for any montana resident.

  7. stappinglad

    Who dresses like that? That photo must have taken him at some Pimps and Hos costume ball.

    But I’m afraid I disagree with this initiative. People need these loans, especially those who can’t find credit anywhere else. As great as a rate cap sounds, ultimately this initiative deprives those people of the last resort they have to pay rent, get a car repaired, or deal with any unexpected emergency which these small loans can pay for.

  9. Gabriel Rodriguez

    If you were lending $100 to someone with bad credit, you would want to charge at least $15 for the risk. Many borrowers “default” on their loans which is why lenders need to charge at least $15 per $100, and also the loans are very short unlike most loans, so you need to charge more to keep your business open. It helps to understand that APR’s increase exponentially when you shorten the time, just like you wouldn’t take a taxi from coast to coast. For example, capping APR’s at 36% would mean that lenders can only charge $1.38 for $100 loaned at 2 weeks. That’s impossible.

    Also, I believe you should consider the people taking out these loans. Many times a $15 charge is much less than the overdrafts they would face otherwise. Also, these are adults that make all kinds of financial decisions, and they choose a payday loan which discloses all information. If you take away one of their only choices for credit, I believe someone should consider filling the need for credit.

    Also, I-164 is being reconsidered because many of the signatures were gathered under false pretenses. I wonder if good ol’ problembear was one of the folks gathering signatures? http://missoulian.com/news/state-and-regional/article_cc5ef57c-cac0-11df-9563-001cc4c03286.html

  10. Smartthinker

    Yes!! Surely problembear was one of the gatherers! He has spewed his hatred all over this State and it has come back to bite him in the arse!!! Thank you problembear, you’ve taken one for the team! He’s obviously a nasty, vindictive, one-sided thinker who hasn’t taken the time to really think about the issues. It doesn’t take a rocket-scientist to convince the voters to vote for something that they think they are paying too much money for. How about we set up an initiative to reduce attorney’s fees from $200/hour to $25/hour. Or those doctors making $500/hour, lets reduce them to $50/hour. Stupid!

    • Larry Kralj, Environmental Rangers!

      Wow! You’re a real humanidiotarian, dude! You provide a valuable service. I mean, robbing people is a service, right? And it’s valuable to you! Ya got ME convinced!…..to vote just as Pbear says.

  12. Smartthinker

    Born and raised Montanan…what your one-sided thinking has caused is your inability to do accurate research and realize there are many Montana owned, legitimate, Title and Payday Lenders that have helped out many, many people who have made bad financial choices and there is nobody else out there to help them. We are their last resort before being homeless and hungry. I invite you to spend a day in one of these businesses that operate fairly and you might realize you’ve been wrong all along because you didn’t take the time to educate yourself. Cowgirl…did you fall off your horse and hit your head too many times? Title and Payday lenders are regulated to be used as short-term, high risk lending institutions. We have been heavily regulated by or government all along. The only one looking lame here are the proponents bad-mouthing and spreading their lies.

  13. Larry Kralj, Environmental Rangers!

    Oh geez, FartStinker, I’m sure gonna hate to see grifters like you LOSE THEIR ASSES come election time! Hey, why don’t you try a legitimate business for a change, like bilking old people outta their money! Much more respectable.

  14. Smartthinker

    Larry the Deranger, you must have a cabin next to Kazinski or the Uni-bomber. Who do you want to go after next? The money grubbing lawyers, doctors or execs that make too much money too?

    • Larry Kralj, Environmental Rangers!

      Nah, just grifters like you. You see, I’ve always had an extreme revulsion for the practice of extreme usury. Contrary to what you say, it is terribly destructive and unconscionable, and violates our shared sense of fairness. Nuthin’ personal, but if I were you, I’d start sending our resumes! But if you must insist with payday loans, live within the restrictions of I-164 and rejoin the community of civilized men! You’ll sleep better.

  15. problembear

    these aren’t your average every day run of the mill corporate spammers folks, payday lenders hire the worst of the worst, the bottom of the barrel. the ones who are still left over from the cigarette lobby.

    these are the slime devils that i have spoken of. the most evil without a conscience liars on the face of god’s green earth. even cockroaches won’t touch these guys. we’re talking depraved. it is useless to argue with them. they are paid to argue with you. so simply ignore them and watch me devour them.

  16. Pingback: slime devils to the rescue! « 4&20 blackbirds
  22. mtknitter

    It is a low blow to say that title lenders and payday lenders only hire the people that no one else will hire, the lowest of the low. Obviously you have not been into one of the offices and actually talked to the people working there. They are trying to make a living just like everyone else. If you close down all these companies, like the passing of I-164 will, then you can help support the 800 people affected by it through paying even more unemployment taxes because that is where they will end up and the trickle down affect will eventually be felt by everyone in the state not just by those losing their jobs. If they don’t have the money to spend at YOUR establishment, you will ultimately be hurt also. Except maybe the lawyers who handle bankruptcies, who will see about a 200% increase in business as the customers of payday and title lending companies can’t pay ANY of their bills and take out bankruptcies so that NOBODY gets paid. Maybe we should limit the amount per hour the lawyers can charge.