Colorado can now move forward with a cap on what some out-of-state lenders can charge borrowers in interest after the U.S Court of Appeals for the 10th Circuit rejected a lower court ruling that blocked state efforts to set a limit.

At question were consumer loans that nonbank lenders were issuing through banks chartered in other states with no caps or very high caps on interest rates. Some lenders were just above the state’s limit of 36%, while others were charging rates approaching 200% a year.

“This is about consumers being protected from these harmful loans. It is also about state rights and whether Colorado can decide if the usury laws can apply to its residents,” said Andrew Kushner, senior policy counsel for the Center for Responsible Lending, one of several consumer groups suppor

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