MADISON, Wis. – Wisconsin Gov. Scott Walker has vetoed a number of provisions that were included in a Senate Budget Bill “wrap-up motion” that would have expanded the powers of payday lenders to offer new services. The Wisconsin Credit Union League was among a coalition of business groups that urged the veto.
“We tip our hats to Governor Walker today for standing with consumers and rejecting what would have been an overnight expansion of authority for payday lending outfits in Wisconsin,” said Tom Liebe, SVP of Advocacy for The League. “We strongly agree with Governor Walker’s assertion that legislation of this nature should be addressed as separate legislation where the implications can be carefully explored in a transparent and public fashion.”
The governor’s budget veto message stated that the nearly unlimited expansion of authority for payday lenders, provided through a last-minute motion in the budget, was “overly broad and significantly exceeds that of any other financial institutions” and could “create regulatory ambiguity and consumer uncertainty.”
“The League asked for the veto because of the lack of public involvement and awareness of the changes and also to fulfill our obligation to follow the guiding principles established by our membership in support of consumers,” said League President and CEO Brett Thompson. “