The Delaware Business Ledger
West End Neighborhood House, Inc., Wilmington, announced the statewide expansion of its low-interest loan program – now called Loans Plus. This program helps Delawareans break free from the cycle of payday lending, according to a release from the organization.
In addition to the announcement of the expansion, Gov. Jack Markell signed Senate Bill 108 at West End, which imposes tougher standards on the payday lending industry. Revenue raised from this bill will directly fund programs such as Loans Plus that promote safe lending and financial literacy and education. The new law, which was one of the administration’s legislative priorities, requires that any payday lender who wishes to set up shop in Delaware pay a surcharge of $1,500 per location in addition to the existing licensing fee. The fee will be used to fund financial literacy education and promotion of low-interest community-based loan programs.