Policy & Legislation
Battles rage across the country between the payday lending industry and coalitions of citizens groups who are increasingly insisting they will not accept 400 percent interest lending. Fifteen states plus the District of Columbia have outlawed triple-digit interest, and two states rejected them in ballot measures last November – Ohio and Arizona, which becomes the sixteenth state to put a stop to the predation through an interest rate cap as of July 2010.
Other than protecting military families with a 36% APR cap on small predatory loans, Congress has not yet moved to expand reforms across the country, and some big national banks are beginning to get into the business with loans that are virtually indistinguishable from storefront payday loans.
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- CRL Review of "Defining and Detecting Predatory Lending" by Donald P. Morgan, Federal Reserve Bank of NY, January 2007
Published: Jan 23 2007 Issue: Payday Loans
CRL critiques faulty research report by Don Morgan, which attempts to compare states with and without payday lending but misidentifies many of those states.
- Banks in California cannot deduct overdraft fees from Social Security benefits
Published: Jan 22 2007 Issue: Overdraft Loans
CRL's amicus briefs in support of the plaintiff class in Miller v. Bank of America. CRL argues that California law concerning banks' set-off powers forbid banks from deducting overdraft fees from...
- Comment: Proposed FDIC Survey of Overdraft Loan Programs
Published: Oct 16 2006 Issue: Overdraft Loans
Proposed FDIC Survey of Overdraft Loan Programs
- Georgia's Payday Loan Law: A Model for Preventing Predatory Payday Lending
Published: Jun 29 2006 Issue: Payday Loans
Brief analysis of Georgia's law preventing payday lenders from circumventing their consumer credit interest rate cap and other protections.
- North Carolinians can sue abusive payday lenders without going to arbitration
Published: Jun 19 2006 Issue: Payday Loans
CRL's amicus brief in support of the plaintiffs in Kucan v. Advance America. CRL argues that consumers who received payday loans, which have been declared illegal by North Carolina regulators,...