Payday Loans in Missouri Nursing Homes? Not Anymore, Governor Says

Historical archive, first published 2006 — payday-lending laws and rates have changed since. Preserved for the record.

But what about the elderly?

In Missouri, the Department of Health and Senior Services will deny nursing home operators' renewal requests to operate on-site payday loan operations that lend money to the nursing homes' employees, Missouri Governor Matt Blunt said Tuesday.

Right now, approximately 60 nursing homes around the state operate payday loan operations in their facilities. The department also will deny future requests, the release said.

"Payday loans typically charge exorbitant amounts in interest for those who borrow from them," Blunt said in a statement. "Employers should not be making money off the wages they pay their hardworking long-term care facility employees."

Blunt said long-term care rules allow only activities necessary to or directly related to the administration of the facility to operate within the facility. That would certainly NOT include the use of same day payday loans.

The existing on-site payday advance operations would have to be renewed beginning the end of August. But that is a non-issue now.