Making Case For Rent-To-Own Industry, Lawmaker Draws Upon Green And Gold

Republicans are fighting among themselves over a state budget provision that would deregulate the rent-to-own industry in Wisconsin.

Wisconsin is one of only a few states that requires the rent-to-own industry to tell consumers what interest rate they would pay if they hope to buy an item, and every so often the industry tries to change that. This year, Governor Scott Walker put industry-backed changes in his budget, and for now, Republican lawmakers are keeping them there.

Assembly Joint Finance Committee Co-Chair John Nygren (R-Marinette) says there is a legitimate business model for rent-to-own stores.

“For example, the Packers: When they sign free agents, they come into town. They’re going to be living there for however long. They don’t know how long their contracts are going to last. They don’t go out and buy the furniture and stuff. They rent it.”

Asked if that was really an issue, Nygren said yes.

“Yeah, if you’re guy on a short-term contract, you’re on the practice squad or whatever, [and] you’re cut tomorrow, what are you going to do with your stuff?”

In Milwaukee today, Sen. Glenn Grothman (R-West Bend) held a press conference to denounce the rent-to-own provision in the budget: “It’s just horrible to set up a business practice in which you are solely trying to take advantage of somebody.”

Grothman minces no words on this issue, calling the industry “predatory,” and, quote, “just plain evil.” Asked about Nygren’s Packers example, Grothman responded:

“Oh my goodness! Yeah, I know they do that. I know they do that. It’s just so ridiculous and unfair. What percentage of Rent-A-Center agreements in this country are used by NFL football players?”

Grothman says if Representative Nygren and other backers are proud of this change, they should introduce it as a separate bill and bring in the Green Bay Packers to “tell us how wonderful it is.”