Payday lenders can trap working people in a never-ending cycle of debt. Big Banks also have gotten into the business by offering “deposit advance” loans. For years, consumer advocates have been calling on regulators to rein in abusive payday loans, which often charge interest at more than 300% per year. These exorbitantly high interest rates drain money from low-income communities.

This is a guest post by Mike Louis of the Missouri AFL-CIO and Sean Soendker Nicholson of Progress Missouri. 

Ever wondered what keeps payday lenders and the CEOs who pay poverty wages up at night? It’s not the 1,950% interest rates they’re allowed to charge Missourians on payday loans, or how the employees who make them rich are able to survive on $290 a week.  

Here in Missouri, we know what terrifies the payday lending companies and corporations who want to keep paying poverty wages: It’s the convergence of faith, community, student and labor organizations who collected 350,000 signatures in the past 18 months to cap the rate on predatory loans and give minimum wage-earning workers a raise. 

While the 90-plus degree April weather feels like summer, in Missouri congregations, neighborhoods and union halls, activists around the state have November on their minds. Every day, volunteers are collecting signatures to put initiatives on the ballot that would raise the minimum wage and put a cap on out-of-control payday loan interest rates. Because all signatures must be collected by mid-May, more folks are getting involved every day.