RALEIGH, N.C. -- North Carolina consumer advocates have pushed away attempts to allow some installment loan providers to charge late fees to customers.
A legislative study committee agreed instead on Tuesday to recommend the state banking commissioner evaluate further the health of the state's 79 consumer finance lenders before the Legislature decides if changes are needed.
The companies already issue loans of up to $10,000 with interest rates capped at 36 percent and receive some fees, but they argue they're losing money on the average loan. Al Ripley with the North Carolina Justice Center pointed to a state report showing a majority of lenders are profitable.
Sen. David Hoyle had floated the idea of a maximum $20 late fee but it wasn't discussed in the committee's final meeting.
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