BOISE — A Senate Committee has approved a bill that will negate all payday loans issued to residents of Idaho by payday loan companies not having an Idaho payday loan license.
The bill would invalidate any loan provided by an unlicensed payday lender.
Republican Sen. Shawn Keough told the Senate Commerce Committee Thursday that the bill would be a powerful consumer protection tool because the state Department of Finance could issue cease and desist orders and sue unlicensed payday lenders.
The bill passed with a unanimous voice vote. It now goes before the full Senate.
This proposed Idaho payday loan bill will address the multitude of Internet based payday loan lenders doing business in Idaho.