Military Loan Crisis
The Talent Amendment and 2007 Defense Authorization Bill: Due to Pentagon reports that predatory lending was undermining military readiness, Congress capped military loans at 36%. This is less than 1/10th the interest we were allowed to charge on military loans.
Write your state legislators now to oppose the military interest rate cap.
Our response to military loan caps: No other piece of legislation has generated so much concern among our membership. However, we were able to ensure that your business will remain unaffected by this new legislation.
Identification: Soldiers do not have to identify themselves as military personnel when requesting a payday loan, even if they are in uniform. In addition, lenders have no way to identify military personnel. In essence, our lenders have a "don't ask, don't tell" policy with regard to military lending.
Our white paper Lending to the Military is available to PLA members. The white paper outlines strategies for providing military loans without violating the Talent Amendment.
Payday loans vs. indentured servitude: Read our response to critics who compare payday loans to indentured servitude.