AUSTIN -- Council members are debating a host of issues Thursday -- everything from considering limiting the reach of Austin payday lenders to extending parking meters downtown.
Council member Bill Spelman is introducing the proposal that would limit where and how payday lenders can operate. It is all in an attempt to protect the poor from what some say are predatory lending practices.
Spelman's proposals would use the city's zoning authority to restrict the number of payday lenders in an area and another to regulate their lending practice.
He says high interest rates and fees associated with such loans only plunge people deeper into debt.
If adopted, it would prohibit lenders from offering cash advances that exceed 20 percent of a potential borrower's gross monthly income. An auto title loan could not exceed three percent of the consumer's gross annual income or 70 percent of the vehicle's retail value, whichever is less.
Spelman's resolution would also bar borrowers from refinancing their loans more than three times.
The long fight over extended parking meter hours in downtown Austin could be over Thursday
Austin City Council members Mike Martinez and Laura Morrison now have a deal they can agree on.
Under the compromise, meters would run until midnight Thursday, Friday and Saturday, but only until six in the evening Monday through Wednesday. Extended hours would stop at 8th Street, instead of 10th Street.
If it is approved, Morrison says she will withdraw her resolution to push back the new rules until next year.
The full council will discuss the proposal after 3 p.m. Thursday.
