Community activists with Illinois Action rallied against “shark attacks” in Peoria Thursday. They were using the poplar Discovery Channel 'Shark Week' T-V reference to call for more regulatory controls on so-called predatory lending practices.
Heaven’s View Christian Fellowship Pastor Cliff Parks says several payday loan storefronts are just steps from the front door of his church. He has seen grave side-effects on his parishioners.
"People in our community are drowning because of these places. They get into a little bit of financial trouble, and they get desperate," Parks said. "They don’t want to ask for charity and instead they come to a place that promises them fast cash.”
Dozens of others gathered in front of Title Loans in Peoria's Campustown Shopping Center donning shark fins and signs that read “payday loans BITE.” Protester Shalesse Pie says it’s time for the legislators to take further action against predatory loan practices.
“If you look at credit unions, other banks, they’re regulated, they can’t charge 400 percent interest," Pie said. "Anyone who thinks that’s right then why don’t they go there than other banks? Because you’re looking for the best interest rate.”
Similar protests are taking place across the country.
A 2012 Pew study suggests borrowers take out eight payday loans of $375 a year and spend $520 on interest.
The Consumer Financial Protection Bureau is expected to release a proposed rule on the issue this fall.