Connecticut recently slammed the entranceway on an Oklahoma Indian tribe’s tries to ply needy residents with ultra-high-interest “payday loans” via the net, a move which has exposed a new portal to the appropriate debate over whether or otherwise not Indian tribes must follow state consumer-lending rules.
In another of their last functions before retiring as state banking commissioner, Howard F. Pitkin on Jan. 6 given an opinion that tagged as baseless claims by the Otoe-Missouria tribe as well as its tribal president that it has “tribal sovereignty” to grant loans for under $15,000 with interest of 200 per cent to 450 %, and even though such personal lines of credit state law that is violate.
And also if their payday operations aren’t appropriate in Connecticut, the tribe’s “sovereign resistance, ” they allege, shields them from $1.5 million in civil charges and a couple of cease-and-desist requests their state levied against it and their frontrunner. Continue reading