Fresno City Council votes to put a lid on payday lenders

The council learned that the 66 payday lenders already in the city are hurting the local economy by charging exorbitant interest rates of more than 400 percent. Several religious leaders urged the council to limit any further damage.

"Capitalism is the expected norm, but we, as people of faith, can expect that if interest is charged it will not be exorbitant or debilitating. Please don't let more payday lenders get rich off the backs of those in our society who can least afford it," said Rev. Natalie Chamberlain.

The new rules will require any new lenders to be located no less than a quarter of a mile from other loan operations, and restricted their location to main business areas. The rules do not affect the existing payday lenders.