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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- Payday lenders cannot avoid state laws by partnering with banks
Published: Apr 19 2006 Issue: Payday Loans
CRL's amicus brief in support of Georgia Attorney General Baker in Bankwest v. Baker. CRL argues that the Federal Deposit Insurance Act does not provide payday lenders with the benefit of...
- Banks in California cannot deduct overdraft fees from Social Security benefits
Published: Jan 19 2006 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...
- Comments: RIN 3064-AC95, Proposed Rulemaking on Federal Preemption
Published: Dec 13 2005 Issue: Payday Loans
The Center for Responsible Lending submits these comments on the proposed rules, ere part of a larger package of preemption rules urged upon the FDIC by the Financial Services Roundtable.
- FDIC's Revised Examination Guidance on Payday Lending
Published: Mar 14 2005 Issue: Payday Loans
Analysis of the FDIC guidance that stopped the "rent-a-charter" scheme that payday lenders were using to operate in states where they were illegal. FDIC issued strict guidelines under which their...
- Access Denied: Payday Loans are Defective Products
Published: Jan 5 2005 Issue: Payday Loans
Payday lenders offer defective product, claiming if fills need for access to credit