St. Louis voters will not only choose a mayor on Tuesday, they will also decide on a proposition to impose high fees on the pay day loan industry.

Prop S is aiming to impose a $5,000 annual permit fee on each pay day loan business in the city.

Alderwoman Cara Spencer is supporting Prop S, saying the money raised from the fees will help fund an agency to regulate pay day loan businesses.

"It really isn't fair to ask taxpayers to regulate the industry, it is incumbent on the industry to pay for that regulation," Spencer says.

Spencer said Missouri currently has some of the weakest regulation of the pay day loan industry. She says last year, pay day loan businesses issued 1.6 million loans in the state at an average interest rate of 462 percent.

The proposition question and the entire city ballot can be viewed here.

Copyright 2017 KMOV (Meredith Corporation). All rights reserved.

News 4 Reporter

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