The Center for Responsible Lending, Legal Aid of North Carolina, North Carolina Justice Center, National Association of Consumer Advocates, Charlotte Center for Legal Advocacy, Financial Protection Law Center and Pisgah Legal Services partnered to filed this amicus brief in the North Carolina Supreme Court in Townes v. Portfolio Recovery Associates (PRA). Townes v. PRA is principally about the interpretation of...
In a September 3 letter to Acting Comptroller of the Currency, Brian Brooks, the Coalition for Responsible Lending wrote: We oppose the OCC’s proposed rule to permit lenders to use the rent-a-bank model to avoid North Carolina’s rigorously enforced interest rate cap. The OCC’s proposed rule will let predatory lenders off the hook for charging interest and fees in excess...
While pursuing higher education is still a pathway to higher incomes over a person’s lifetime, student loan debt threatens to undermine this promise in North Carolina and nationwide. Outstanding student loan amounts have risen at an alarming rate over the past decade, and North Carolina has not been immune from this trend. Today, students and their families face a difficult...
GOP Rep. Patrick McHenry takes on ‘Auntie Maxine’ in Congress
WASHINGTON – Rep. Patrick McHenry has been representing western North Carolina in the U.S. House since he was 29 years old. The 10th District Republican, now 43, has long been considered a rising star among House GOP lawmakers. He’s worked in leadership as Republicans’ chief deputy whip, and he’s often labeled as an aspiring Speaker of the House. He’s got...
Kelly Tornow of the Center for Responsible Lending
Kelly Tornow of the Center for Responsible Lending discusses a new study on the shortcoming of for-profit colleges and the debt-load those students face versus those who attend traditional public four-year institutions. Learn more about the failings of for-profit colleges.
Liz Weston: How debt ‘solutions’ could dig you in deeper
Americans are slipping ever deeper into hock. To cope, many people turn to debt consolidation loans, cash-out mortgage refinancing and retirement plan loans that promise relief but could leave them worse off. Paying off high-rate debt such as credit cards with lower-rate loans may seem like a no-brainer. Unfortunately, many of these loans have hidden costs and drawbacks. And consolidation...
Kelly Tornow: Cold, hard facts about for-profit colleges
At a recent hearing on Capitol Hill about higher education, Rep. Virginia Foxx of North Carolina complained about the attention given to problems with for-profit colleges. She said, "To sit here and grind a tired old ax against certain types of institutions you don't like is just disgraceful." But for-profit colleges have a bad reputation for good reason. And in...
Bounced check fees, small loan fees go up under bill
RALEIGH, N.C. — A bill to increase bounced check fees, and double some loan origination fees, moved forward at the statehouse Tuesday with a boost from House Republican leadership. House Bill 327 would increase the state cap on returned check fees from $25 to $35, raising that fee for the first time in more than 20 years.
Eviction has damaging effect on tenants’ health
DURHAM – Karen Turrentine, 66, a former hairdresser, retired in 2004 because she suffers with lupus, scleroderma, and rheumatoid arthritis. Turrentine said she was just getting over a bout of sickness when she was threatened with eviction following an altercation with a neighbor.
Dear Coalition Supporters, This update covers important predatory lending developments over the past few months, including action at the NC General Assembly, challenge of the payday rule in Congress (spoiler, we won!), threats to our state usury cap, rollback of federal student loan protections, and recent CRL research. NC General Assembly: What Happened? House Bill 810, backed by the NC-based...