The committee took no action Wednesday on whether to endorse the proposed outline of legislation. "We need to hear from the industry," said Rep. Stephen Clark, R-Provo, House chairman of the interim committee.

But some committee members voiced concerns.

"As far as I know, we've never asked any other industry to give this level of detail," said Rep. Kevin Garn, R-Layton, who has served on the board of directors of a bank. "I don't care what kind of industry it is, if you ask for this kind of information, you're going to find something to regulate. I ask the question: Is that what we really want to do?"

Sen. Wayne Niederhauser, R-Sandy, said he has "problems with singling out a particular industry for a lot of scrutiny unless there are real problems there."

Rawle contended that the industry has few such problems.

"Of the million-plus transactions that we do a year, there are fewer than 30 complaints (to the state)," he told the committee. "There is a reason people like our services and do use them, and a reason they don't complain: They find a lot of value in what we provide."

But Laura Polacheck, advocacy director for AARP Utah, said few complaints arise because people feel it will do little good to complain that they have become trapped in debt for taking out legal loans. But she noted that the Pentagon recently convinced Congress to cap such loans at 36 percent annual interest for members of the military, because debt from payday loans was causing widespread problems with military families.

Utah payday lenders have quit doing business with members of the military, saying the 36 percent annual interest they are now allowed to charge them does not cover their costs of the loans.

State data shows Utah has 447 payday lenders, more than the combined number of 7-Elevens, McDonald's, Burger Kings and Wendy's in Utah.

---

E-mail: lee@desnews.com