MEMBER for Maranoa David Littleproud has defended his Warwick rent-to-buy business as pressure steps up in parliament to stamp out payday lender rip-offs.

Mr Littleproud said he was a "silent partner" at Mr Rental Southern Downs, located on Palmerin St in Warwick.

It offers goods on a rent-to-buy basis, which Labor MP Meryl Swanson claimed in parliament on Monday meant a customer could end up paying $8000 for a $1900 laptop computer.

Newly appointed Nationals leader Michael McCormack introduced legislation last year to cap the total payments on consumer leases and require all small amount credit contracts to have equal repayments and payment intervals.

But Labor's consumer affair spokesman Tim Hammond told parliament on Monday, despite bipartisan support, nothing had progressed.

"The government quite frankly has a choice, Mr Speaker, to show some leadership, to step up and vote for their own bill," Mr Hammond said.

Mr Littleproud has stated he will abstain from cabinet discussions due to the conflict of interest but will support the government legislation.

"I absolutely support the government's move to ensure responsible small lending, which followed a report which found effective interest rates in some cases of more than 800 per cent," Mr Littleproud said.

Mr Littleproud said Mr Rental in Warwick had a credit licence due to its responsible lending practices and rent-to-buy allowed Australians to access household products they would not otherwise be able to access.

"Rent-to-buy is not compulsory. Customers choose if they'd like to rent and if so, whether they'd like an entry level product or a more expensive one," he said.

"It helps give people a chance to get back on their feet and rebuild their credit rating.

"Clients can get a fridge for $7.75 a week, a microwave for $4.44 a week or an entry level laptop for $9.96 a week.

"The product being rented comes with free maintenance, free repairs and free upgrades to new models."

Mr Littleproud said the Labor party supported the government's bill but was giving the false impression they were fighting it.

"The Labor Party actually supports the government's exact bill because it realises many people with poor credit cannot access items such as fridges, microwaves and lap tops without rent-to-buy," he said.