South Dakota scrapped its interest-rate cap in one legislative session and landed Citibank
- HB 1370 passed the legislature in a single day in 1980
- $815 billion now sits in South Dakota trusts
- Zero corporate income tax, zero personal income tax
- The Mount Rushmore State, 40th to join the Union (1889)
How South Dakota’s digital economy grew
South Dakota becomes the 40th state
Admitted the same instant as North Dakota’s 39th — President Harrison shuffled the paperwork so no one would know which came first.
The deal that rewired American credit
Volcker-era interest rates over 20% collided with South Dakota’s old 12% usury cap, making loans unprofitable to write. The legislature scrapped the cap in early 1980, and Citibank — whose card division was losing money under New York’s own rate ceiling — came calling. Citicorp’s chairman flew to Governor Bill Janklow’s home in Pierre and guaranteed 400 jobs; the enabling bill, reportedly drafted by Citibank’s own lawyers, cleared the legislature in a single day. Because a 1978 Supreme Court ruling let a nationally chartered bank export its home state’s interest rate to customers anywhere in the country, South Dakota’s law reset rates for Citibank cardholders nationwide — not just in South Dakota.
The trust capital nobody talks about
South Dakota charges no corporate income tax and no personal income tax, and ranks #2 nationally on the Tax Foundation’s competitiveness index. A 1983 law letting trusts run forever without forced distribution — "dynasty trusts" — layered a second wave of financial services on top of the credit-card cluster. Trust assets held in the state have grown to $815 billion, roughly $100 billion of growth every year since 2018.
How South Dakota businesses buy websites
Sioux Falls’ banks and trusts get the headlines, but most of South Dakota’s businesses are the trades and shops serving towns spread across a mostly rural state.
Trades and home services
South Dakota towns are far apart — say plainly which ones you actually serve.
Professional and B2B services
A finance-friendly, zero-tax state rewards clarity about exactly what you do.
Tourism and shops
Mount Rushmore draws real visitors — a clear, findable site matters here.
How well do you know South Dakota’s digital economy?
3 quick questions. Get all 3 right and you win a 10% off discount code. Every answer is somewhere on this page.
South Dakota quiz · 1 of 3
Which bank moved its entire credit-card operation to Sioux Falls in 1981 after South Dakota scrapped its interest-rate cap?
Why FastSites works here
A state that can pass a bill in a single day when it matters understands the value of moving fast without extra friction. A clear one-page site, live in days, at a published price, is that same instinct for a small business.