Barney Frank: “I do not think we should do what legislatures can do, but things have found their way into State Constitutions which it…”

“I do not think we should do what legislatures can do, but things have found their way into State Constitutions which it can be difficult to deal with it, and it does seem to me that this particular preemption that I understand is fairly widely supported in Arkansas, which would modify but not completely repeal restrictions on interest that can be charged, is a reasonable one. I think it would be allowed for reasonable transactions. It would not, and is so worded, is not to allow things that are now abusive like payday loans, and this will now go to the other body and the Senators from Arkansas who decided this. But it does seem to me that responding to this request from our colleagues to deal with something that is inappropriately, in my judgment, wedged in a Constitution because it is something that should be a matter of legislative policy, not constitutional, that it is okay. Let me say this: if after we were to do this, if the people of that State or any other State wanted to reassert a certain limitation by legislation, I would agree that would be their right.”