“A 28% APR rate cap means 28% divided by 26, or 1.07% every two weeks. That’s $1.07 per hundred instead of $15 per hundred. That is a 93% revenue cut.”
-actually, it is about a 28% reduction in revenue, I’m not sure what kind of percentages he is referring to, I am referring to the kind that means “parts per hundred”.

“Revenue collected drops to $750 every two weeks!”.
This may be a typo, but I see revenue dropping to $7457.

“Against that revenue, they lose that $5300 in defaults, and spend about $9000 on overhead, or $14,300 total. So their net profit for the month (before owner salary and taxes!) is $6,700.”
-Why the author keeps mixing monthly and bi-weekly data is beyond me. If they cannot trim their budgets and operate more profitably, or find a way to lower the percent defaulting on their loans, perhaps we are better without these businesses, which do little to help the overall economy, and make way for a business that actually produces a tangible good or service, instead of another way of skimming the till. Don’t argue to me how important this service is to the working poor, it is loan sharking at it’s best. People are not “suddenly” unable to pay the rent, it happens every month. Burying yourself 2 weeks deeper is not going to save you for long.

It seems to me he had an open mind as to what are the facts. And after examining the facts and after learning about the indeustry (his blog May 12th, 2008 Interview with Lawrence Meyers), he realized what is the reality and what is the ramifications of passing a bad law.

Yes, it is too bad that our politicians did not have an open mind, and all they cared about was their political advantage. Ohio Republican representatives and senators, you did not care about working people. Ohio Democratic representatives and senators, you may like this bill because this bill will create more poor people, and you will have more people that you claim that you are going to fight for.

But all the politicians, please do not think we are so stupid. Beware of Ohioans. We will pay you back with whatever you gave us.

Those elitist journalists and self-appointed consumer advocates, who are you going to blame this time when the cascade effects cause hard working people to suffer more? You don’t even have a simple understanding of how economy works. And you guys are very good at pushing left-wing agenda. One day you will be looking back and say, “I screwed up hard working people of Ohio.” But I doubt that you have conscience to admit that you were wrong.

Kudos to Simon Barrett for realizing and pointing out the plain truth and the hard reality still to come for Ohioans.