What's New
New Mexico is one of only a handful of states that does not currently regulate payday loans and other short-term predatory lending practices like car title loans. During the 2006 legislative session the legislature tried to address the issue but could not come to a consensus. The Governor has recently announced that the state will impose regulations on payday loan companies through the Financial Institutions Division.

How You Can Help
E-mail Mr. Verant, the Director of the Financial Institutions Division, and let him know of your support to regulate predatory lending in New Mexico.

Background
Only Mississippi has more stores per capita and the highest concentration of payday stores is in the poorest part of the state Gallup and Grants.

Although advertised as short term loans the average borrower in New Mexico has to roll over their loan 6 times so a two week loan becomes a 3 month loan and with interest rates at 500% the borrower is quickly paying more in interest then the original amount of the loan. Thousands of New Mexicans are getting caught in a debt treadmill. More.

Reports
• Payday Heyday (4/17/02)
In just 12 years, the number of payday lenders jumped 1,417 percent in New Mexico. The report also debunks two industry claims: that the loan outfits are locally owned and that their loans are usually one-time events.
• Payday, Mayday (3/5/02)
Two-thirds of the payday and title lenders in New Mexico are in violation of even the most simple regulations.
• Deflate Your Rate (3/27/02)
One simple action can lower consumers' credit card interest rates and save them hundreds or even thousands of dollars.
• Trouble In Toyland (11/20/01)
Dozens of toys on storeshelves pose choking or poisoning risks. This annual report has resulted in over 100 recalls and other enforcement actions in the last 15 years.
• Big Banks, Bigger Fees (11/1/01)
New Mexicans can save at least $75 each year by banking at a small bank or credit union instead of a big bank, according to a report by NMPIRG and the state PIRGs.
• The Credit Card Trap: How to spot it, how to avoid it (4/5/01)
Deceptive credit card offers and practices are sinking more and more consumers into high-cost credit card debt. NMPIRG announced a new credit card education campaign featuring both the Web site truthaboutcredit.org and a new brochure describing how consumers can avoid credit card hazards.