By Gary Lloyd
The Trussville City Council on Tuesday approved an ordinance imposing a moratorium on money brokers.
According to the ordinance, the 180-day moratorium includes any “money broker,” defined as any person, organization or business entity that loans money secured by personal property or secured by title to personal property or buys personal property, under agreement whereby the borrower or seller is granted the right or option to redeem or repurchase said property; trades in, takes or buys assignments of wages already earned by any other person employed or to be employed by any other person; engages in the business of lending money on wages, salaries, personal property or on endorsements or personal security where such is to be repaid on the installment plan with payments to be made over a period of months or years; engages in the business of check cashing, payday loan services or payday advance services; engages in the business of buying conditional sales contracts, rent notes, the discounting of contractors’ notes or any of the aforementioned activities.
The ordinance states that the city “has the authority to regulate money brokers” in order to “protect the health, safety and welfare of its citizens.”
The ordinance also notes the city is “undertaking a comprehensive review of its zoning and land use classifications and regulations, with particular attention to its commercial districts and to the completion of a downtown redevelopment plan.”
Contact Gary Lloyd at firstname.lastname@example.org and follow him on Twitter @GaryALloyd.