The Brownsville Herald: Cities limit payday loans

July 13, 2014

Brownsville is slowly making progress toward passing an ordinance regulating payday and automobile title lenders, a move 18 Texas cities have already made.

Dallas got the ball rolling in June 2011. Midland was the latest city to pass an identical “unified ordinance,” aimed at reining in predatory practices of auto title and payday loan firms. Midland adopted the ordinance last month. Austin passed one in August 2011. San Antonio passed on in September 2012, and El Paso passed its in January 2013.

John Villarreal, Brownsville city commissioner representing District 4, champions passage of the unified ordinance for the city. The main reason Brownsville hasn’t done it already is that municipalities that have adopted the ordinance have been sued by the payday/auto title loan industry, though the legal tide seems to be turning in favor of cities, he said.

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