Payday Lending News
The latest news on payday loans and the payday lending industry from the Center for Responsible Lending.
- Sunnyvale Enacts Restrictions on Payday Lenders
CBS San Francisco 26 Sep 2013
Sunnyvale, Calif., has enacted an ordinance that limits the number of payday lending installations allowed in the city. The new law allows for six payday establishments, although a grandfather clause permits the eight existing businesses to remain open.
- Nonprofit to Launch Incubator for Payday Loan Alternatives
American Banker 26 Sep 2013
Funded with a $700,000 grant from the Ford Foundation, the Filene Research Institute is preparing to launch an incubator to develop alternatives to payday loans.
- States Sharpen Payday-Loan Scrutiny
Wall Street Journal 26 Sep 2013
State regulators are trying to rein in payday loans by pressuring lenders to submit customer information to state databases. Alabama became the most recent state to call for a database, following similar proposals in California, Pennsylvania, and other areas.
- FDIC Accused of Waging Stealth Crackdown on Online Lenders
American Banker 23 Sep 2013
The Federal Deposit Insurance Corp. has been ramping up reviews of banks' third-party relationships just as some online lenders, which rely on banks to process their transactions, are facing serious questions about their exorbitant interest rates and their liability under state licensing laws.
- Lawsuit Filed to Try and Block Payday Loan Database
AL.com 23 Sep 2013
Payday lenders that include Cash Mart and Rapid Cash have filed a lawsuit in a bid to derail a new database to track short-term borrowing in Alabama.
- Kansas City Area Taking the Lead in the Online Lending Industry
Kansas City Star 21 Sep 2013
At least six agencies within the U.S. government have launched a crackdown on Internet short-term lending, which is good news for low-income consumers hurt by high interest rates and fees, according to an editorial in the Kansas City Star.
- Long Beach City Council Restricts Short-Term Lenders
Long Beach Press-Telegram 19 Sep 2013
The Long Beach (Calif.) City Council has unanimously voted to push consumer-finance lending businesses from neighborhood commercial and other areas into locations that are more automobile-oriented and widen the separation between the businesses from 1,000 feet to 1,320 feet.
- Governor Approves Database of Loans Made by Payday Lenders
Anniston Star 19 Sep 2013
As part of state regulations approved Wednesday to help consumers avoid excessive debt, Alabama will soon know which area residents have loans from payday lenders.
- Editorial: California Legislature Whiffs on Reining in Payday Loans
Fresno Bee 19 Sep 2013
This Fresno Bee editorial criticizes the California Legislature for failing to get a bill out of the banking committee to protect citizens from usurious lending. California remains among the most lax states when it comes to payday lending.
- Payday Lenders Move Online as Regulators Crack Down
Seattle Times 18 Sep 2013
A growing number of websites offer short-term loans even for borrowers with credit problems, but these payday loans often have annual percentage rates of 400 percent or more.
- Long Beach Council to Vote on Updating Short-Term Lender Rules
Long Beach Press-Telegram 17 Sep 2013
The Long Beach City Council may further restrict payday and other short-term consumer finance lending businesses when it meets Tuesday.
- Payday, Title Loan Businesses Possibly Hurting Local Economy
Anniston Star 17 Sep 2013
Consumers flock to alternative financial providers, in Alabama and nationwide, because the services they offer are easily accessible to people who have no mainstream banking relationship.
- Online Lender Seeks Dismissal of New York Suit
Wall Street Journal 17 Sep 2013
Western Sky Financial LLC, an online lender targeted by state regulators for charging steep interest rates, said Sept. 17 that a lawsuit filed against it by New York Attorney General Eric Schneiderman should be dismissed because the state lacks authority over the business.
- Fast Cash Jungle: Payday Lenders Proliferate in East Ridge, Elsewhere
Chattanooga Times Free Press 17 Sep 2013
According to the Tennessee Department of Financial Institutions, there are nearly 90 payday lenders operating in the Chattanooga area.
- Editorial: Crack Down on Abusive Lending
Cincinnati Enquirer 17 Sep 2013
This Cincinnati Enquirer editorial calls on regulators at the Ohio Department of Commerce "to step in, investigate, and then revoke the licenses of those businesses found to be evading payday lending laws."
- Lawmakers Vote to Override on Mo. Lending Measure
connectmidmissouri.com 17 Sep 2013
The Missouri Legislature has voted to override Gov. Jay Nixon's veto of a bill that would allow lenders to charge higher fees on certain short-term loans.
- Making Money Off the Poor
New York Times Opinionator 17 Sep 2013
Many different businesses and schemes are making money off of low-income Americans, Tom Edsall writes in a New York Times opinion piece.
- Personal Finance: Illegal Online Lenders Plague Payday Loan Industry
Sacramento Bee 17 Sep 2013
Storefront payday lenders in California are getting pushed aside by unlicensed online competitors who are increasingly accused of ripping off consumers.
- Maryland Issues Cease and Desist Order Against Online Payday Lenders
Baltimore Sun 17 Sep 2013
Mark Kaufman, Maryland's Commissioner of Financial Regulation, announced Tuesday that his division had issued a final cease and desist order against online payday lenders and their owners.
- Military Officials Want to Clamp Down on Payday Lenders Unfairly Targeting Soldiers
KXXV-TV News Channel 25 16 Sep 2013
All around Fort Hood in Texas, lending advertisements target soldiers who are in financial hardship, but may be afraid to tell their superiors.