CENTRAL OHIO -- Ohio voters approved Issue 5 last November.
Issue 5 put a 28 percent cap on payday loans, and those restrictions are permanent.
The buzz in the state capital Friday was some places are still charging those triple-digit rates -- and perhaps adding more fees.
NBC 4's Mikaela Hunt worked to GET BOTH SIDES OF THE STORY.
A majority of Ohioans likely think that payday loans are a thing of the past.
"Think again," Ohio Attorney General Richard Cordray said.
A big debate is brewing over the latest fees and additions to small loans.
And, the consumer is stuck in the middle in tough economic times.
"I think everyone was surprised," Cordray said.
Cordray was talking about when he found out companies formerly known for payday loans were offering something else.
"It was not anticipated that people would continue to make loans at 200, 300 and 400 percent interest rates," Cordray said.
Cordray said check-cashing companies have been using the Small Loan Act and Mortgage Lending Act to loan out money.
And those options, which Cordray called loopholes, come with fees.
"They're issuing money in the form of a check -- rather than cash -- and then making you cash it. We find that objectionable," Cordray said.
One local former payday lending site directed customers a few miles away to a secondary location that was hiring more employees.
CEO Checksmart Ted Saunders, though, said there are far less people working in the industry right now and this loophole lingo is going too far when people need small loans.
"The criticism has been we're using loopholes to trick the customer into doing something they don't want to do. You know, I've talked to my customers. They're appreciative of getting loans in this environment," Saunders said.
Saunders said customers can get their loan check cashed anywhere and the fees are less than what they used to pay.
"It's very hard when words like 'nefarious' and 'loan sharks' spill off the pages of the newspaper. I am following the letter of Ohio law," Saunders said.
Still, legislators continued to look for a way to cut off those additional fees.
"We think the law is being made a mockery of," Cordray said.
For additional information, stay with NBC 4 and refresh nbc4i.com -- Where Accuracy Matters.
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