Access to payday loan sites is to be blocked on computers owned by Preston Council.
Councillor Matthew Brown said: “We are taking the lead of other Labour-controlled councils such as Portsmouth by banning operations of pay day lenders through our computers.
“This has been effective in our offices since 2011, but we will be bringing it in for computers we own in the Harris Museum library, and in the bus station.”
The council is also looking at setting up a community credit union.
The moves have been welcomed by councillors on all parties.
Other local authorities such as Blackburn with Darwen Council, have also made the move to block the loans, which have been blamed for landing people in long-term financial difficulty because of high interest rates.