Nixon vetoes Missouri bill to increase loan, bank fees

JEFFERSON CITY, Mo. -- Democratic Gov. Jay Nixon has vetoed a bill that would have allowed Missouri lenders to charge higher fees to consumers while also raising fees finance companies pay to the state.

Nixon said in his Tuesday veto message the measure would have caused financial strain on families.

The measure would have allowed lenders to charge fees of up to 10 percent of the principal on a loan that lasts more than a month, up to $100. The current cap is at $75.

The bill also would have increased a number of license and registration fees for finance companies. For example, each location of a financial institution now must pay an annual licensing fee of $300. The bill would have upped that to $500 each year.