Only 1 state changed its regulations regarding minimum or optimum loan term: Virginia raised its minimal loan term from 1 week to 2 times the length of the debtor’s pay cycle. Presuming a typical pay period of fourteen days, this raises the effective restriction by about 21 days. The column that is third of 5 quotes that loan size cashland loans fees in Virginia increased almost 20 times on average as an effect, suggesting that the alteration had been binding. OH and WA both display more changes that are modest typical loan term, though neither directly changed their loan term regulations and Ohio’s modification had not been statistically significant.
All six states saw statistically significant alterations in their prices of loan delinquency.
The change that is largest took place in Virginia, where delinquency rose nearly 7 portion points over a base price of about 4%. The evidence that is law-change a connection between cost caps and delinquency, in keeping with the pooled regressions. Cost caps and delinquency alike dropped in Ohio and Rhode Island, while cost caps and delinquency rose in Tennessee and Virginia. Read more