May 20, 2020
| By Jeniffer Solis | Nevada Current
Critics of the industry say the loans are designed to trap borrowers into a cycle of debt. Nearly 20 states have capped rates on payday loans, but lawmakers have rejected efforts to cap the high interest loans in the Silver State, where the industry has contributed generously to politicians. The Center for Responsible Lending reports that the typical annualized percentage interest on a payday loan in Nevada is 652 percent.
May 20, 2020
| By Liz Raines | KTVA
A non-profit group called Center for Responsible Lending points to structural flaws in the PPP's initial design as a reason for the discrepancy. According to the organization, people of color are likely to have fewer employees and less revenue than white-owned businesses. "As a result, there were less likely to qualify for larger loans that would yield the higher fees that would make them a priority for lenders at the outset of the program," the group notes in a report, updated on May 19.
May 19, 2020
| By Harmeet Kaur | CNN
The Center for Responsible Lending estimated in April that approximately 95% of black-owned businesses, 91% of Latino-owned businesses, 91% of Native Hawaiian or Pacific Islander-owned businesses and 75% of Asian-owned businesses were unlikely to receive a PPP loan through a mainstream bank or credit union.
May 18, 2020
| By Hannah Lang, Neil Haggerty and Brendan Pedersen | American Banker
But the provision is not retroactive, analysts point out, and it remains unclear just how helpful the measure would be with more than 100 million payments already delivered by the IRS. For people who have already had their stimulus payments garnished, “it doesn’t do much,” said Kiran Sidhu, policy counsel for the Center for Responsible Lending.
May 14, 2020
| By Whitney Miller | WCPO Cincinnati
"You know the Paycheck Protection Program that everyone was so excited about? Then we found out that a lot of black businesses couldn’t get the money. The center for responsible lending estimated that 95 percent of black businesses didn't get money from that first round,” Kearney said.
May 12, 2020
An additional problem for these owners is that their businesses are more likely to be sole proprietorships, according to Ashley Harrington, senior policy counsel at the Center for Responsible Lending.
"When we're talking about businesses of color, most of them are very small businesses. So they're sole proprietorships or they have less than 10 employees or in fact more likely to be a sole proprietorship than any of the other small businesses," Harrington said.
May 12, 2020
| By Justin Gray | WSBTV Atlanta
Whitney Barkley-Denney from the Center for Responsible Lending said the federal government can and should force the loan servicers to follow the rules. “They have multimillion dollar contracts with these servicers and, by the way, it’s taxpayer money that’s paying these servicers to properly service student loans and so the Department of Education absolutely has a role in enforcing their contracts,” Barkley-Denney said.
May 9, 2020
| By Errin Haines | The Philadelphia Inquirer
The federal government’s Paycheck Protection Program is mainly lending to existing customers, and many business owners of color lack such relationships. As a result, a recent report by the Center for Responsible Lending found that 95% of black-owned businesses, 91% of Latino-owned businesses and 75% of Asian-owned businesses “stand close to no chance of receiving a PPP loan through a mainstream bank or credit union.”
May 8, 2020
| By Ann Carrns | The New York Times
Many of the suits end in automatic victories for collectors, the report found. That’s probably because consumers sued for debts rarely have lawyers. And for various reasons, debtors often fail to show up for hearings. People may not be able to afford a lawyer, may be unable to take time off work or may not have been properly notified, said Lisa Stifler, state policy director at the Center for Responsible Lending.
May 4, 2020
| By Conor McCue | CBS Denver
A recent survey by the Center for Responsible Lending (CRL) found the odds are against businesses owned by people of color. A report done by the group estimates “roughly 95% of Black-owned businesses, 91% of Latino-owned businesses, 91% of Native Hawaiian or Pacific Islander-owned businesses, and 75% of Asian-owned businesses stand close to no chance of receiving a PPP loan through a mainstream bank or credit union.”