New Mexico Governor Michelle Lujan Grisham signed a bill backed by the New Mexico Association of Credit Unions to cap the interest rate on installment loans on March 1. HB 132 reduced the maximum annual interest rate on installment loans to 36% (down from the previous 175%).
“This bill is a victory for hardworking families in New Mexico. The New Mexico Credit Union Association has worked to promote this important bill and educate our legislators about the great work our credit unions do every day to help members break cycles of poverty while putting them on the path to financial well-being,” said Juan Fernández. Ceballos, CEO of CUANM. “Several members of our Government Affairs Committee served as expert witnesses and defended credit unions when payday lenders attempted to punish credit unions for opposing these egregious lending practices.
Fernández thanked credit unions for “being part of this fight from the beginning,” especially Guadalupe Credit Union President and CEO Winona Nava and Chief Financial Empowerment, Outreach and marketing, Diane Sandoval.
It was appointed “an important figure” to push the bill through the Santa Fe New Mexican in his coverage of the bill, which noted his “cold hand during debates” on the measure.