We have in this state consumers who need protection and an industry that, it seems, is willing to be regulated.

It's then hard to imagine a reason why some form of House Bill 483 should not be enacted this year to provide state oversight of the "payday lending" businesses that have cropped up around the Islands, as they have throughout the country.

The bill seeks to limit abuses in what's also called "check cashing" by requiring businesses to be licensed by the state Department of Commerce and Consumer Affairs. These are businesses that cash a customer's postdated check (which companies later deposit) for people who need a small loan before their accounts are replenished on payday.

HB 483 also would set rules limiting charges for the companies' payment plans and record-keeping, and require the facts about fees and annual percentage rates on the loans to be posted prominently and disclosed on forms.

Finally, it would require the businesses to offer an extended repayment plan after any customer has entered into four or more consecutive transactions with that company.

Fortunately, the Senate Commerce, Consumer Protection and Affordable Housing Committee, has ensured the measure's survival by scheduling a hearing.

There is no perfect protection to offer consumers living this close to the edge. These are people who are borrowing against their next paycheck to meet basic expenses. Some states that have tried to force extended repayment plans find that chronic borrowers avoid them, and merely seek cover with another lender.

Some states are trying statewide databases that bar loans to people already in arrears to another lender. Further refinements to this legislation will be needed.

But HB 483 at least represents a first step toward safeguarding the public interest. People already in debt need a nudge toward repayment, rather than an invitation to more quick cash.