Ohio
legislators insisted on eliminating credit access for its
citizens. In addition, this is putting thousands out of work
during a serious economic crisis.
Steve Scoggins, President, Check Into Cash
The 60 stores that remain open are offering micro loans under
the Ohio Small Loan Act. "We're making an effort to continue
serving our customers," said Check Into Cash President Steve
Scoggins. "While the federal government understands the
importance of providing access to credit as it's doing with the
bailout," notes Scoggins, "Ohio legislators insisted on
eliminating credit access for its citizens. In addition, this is
putting thousands out of work during a serious economic crisis."
Ohioans are likely to experience what Federal Reserve
researchers Donald Morgan and Michael Strain learned about
Georgia and North Carolina after payday lending was eliminated.
Their study showed that customers bounced more checks, filed for
Chapter 7 (no assets) bankruptcy more often and registered more
complaints with the FTC. Consumers were also forced to use more
expensive credit options when payday loans weren't available.
Approximately 45 employees will lose their jobs early next month
when the store closings go into effect. Some 47,500 square feet
of retail space will now go dark as the 32 locations in cities
and towns across the state are vacated.
Scoggins declined to say whether additional Ohio locations may
be shuttered in the future. "We're doing the best we can to meet
the needs of our customers and at the same time trying to keep
the lights on," he explained.
