Following operation sunset that banned payday loans, over 600 payday loan stores had to close according to an article on Arizona’s local paper TriValleyCentral.
According John Rabenold who is a a spokesman for Check ’n Go’s corporate offices, this new ban is “devastating.” He further said, as a result of the new law, we are closing up shop and going elsewhere.”
“This is going to hurt the state more than it helps it. Now state has to worry about over 2000 unemployed residents and that’s just the short term effect. Imagine how many more jobs will be lost indirectly as results of this. All vendors that worked with these payday loan stores now are going to lose a ton of business and as the result they might have to be forced to downside too” said, a payday loan consultantthat works with various payday lenders. His major clients in Arizona such as Payday Loan JR and All State Payday Loan, had to close shops right after they got their license for Arizona, right before payday loans got banned.
He further said, instead of banning payday loans that resulted in job loss, I would like to see politicians to help economy grow by providing more jobs, better paying jobs, so there would be less demand for payday loans as the result they would come by much cheaper.
