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Press Releases

June 2, 2021
Today, Ally Bank announced a complete end to its overdraft fees. In response, Center for Responsible Lending (CRL) Senior Policy Counsel Rebecca Borné issued the following statement: The evidence is clear that overdraft fees are levied most frequently on families who can least afford it, disproportionately harming low-income and Black and Latino Americans. Abusive overdraft practices are causing people who are struggling to get by to lose their bank account – something diametrically opposed to the financial industry’s claim it wants to bring more Americans into the mainstream banking...
May 25, 2021
WASHINGTON, D.C. – Today, as the country reflects on the one-year anniversary of George Floyd’s murder, the U.S. Senate is voting to confirm Kristen Clarke as head of the U.S. Justice Department’s Civil Rights Division. Ms. Clarke, who is president of the Lawyers’ Committee for Civil Rights Under Law, will be the first woman, first woman of color, and first Black woman to receive Senate confirmation for the position. “Kristen Clarke is the right person at the right time to serve as Assistant Attorney General for Civil Rights,” said Center for Responsible Lending Federal Advocacy Director...
May 13, 2021
WASHINGTON, D.C. – The United States House of Representatives today passed the Comprehensive Debt Collection Improvement Act (H.R. 2547). Introduced by House Financial Services Committee Chairwoman Maxine Waters, the Act is comprised of eight bills that would collectively enact critical debt collection reforms aimed at protecting vulnerable consumers. If passed into law, the Act would, in part, prohibit the collection of medical debt for two years after a procedure, as well as prohibit credit reporting of debt arising from medically necessary procedures. It also would amend the Fair Debt...
May 11, 2021
WASHINGTON, D.C. - In a 52 - 47 vote tonight, the U.S. Senate voted to overturn the OCC’s “fake lender” rule, which allows predatory lenders to evade state interest rate laws by putting a bank’s name on the paperwork. S.J. Res. 15, a resolution under the Congressional Review Act (CRA), was introduced by Senators Chris Van Hollen (D-MD) and Sherrod Brown (D-OH). Rep. “Chuy” García introduced a parallel resolution, H.J. Res. 35, in the U.S. House of Representatives. Now that the Senate approved the resolution, the House has until the end of this legislative session to vote on it. Advocates...
May 11, 2021
WASHINGTON, D.C. – The U.S. Senate has begun consideration of legislation (S.J. Res. 15) to rescind a federal bank agency rule that facilitates predatory lending. A vote is expected around 5:30 pm et. The rule, issued by the Office of the Comptroller of the Currency (OCC), makes it easier for lenders to charge high interest rates, in violation of state usury laws, through “rent-a-bank” schemes. “The OCC rule promotes illegal, predatory lending that traps financially vulnerable families in debt,” said Center for Responsible Lending Director of State Policy Lisa Stifler, who recently...
May 10, 2021
WASHINGTON, D.C. - Join us today, Monday, May 10 at 2:30 pm ET to hear about the real world impacts of the "fake lender" ruleand why Congress must immediately pass S.J. Res. 15 / H.J. Res 35 under the Congressional Review Act (CRA) to repeal the rule. The fake lender rule by the Office of the Comptroller of the Currency (OCC) protects predatory lenders that evade state interest rate laws by laundering their loans through a rogue bank. RSVP now. Hear about: A restaurant owner fighting $67,000 in loans at 268% APR loan, a rate the predatory lenders are justifying by the OCC rule; A...
May 5, 2021
WASHINGTON, D.C. - Advocates welcomed reports that Treasury Secretary Janet Yellen plans to appoint a new acting head of the Office of the Comptroller of the Currency (OCC), replacing Blake Paulson, in light of the highly deceptive and false claims that the agency, under Paulson’s leadership, put forward as Congress debates overturning the OCC’s “fake lender” rule. The fake lender rule will enable a massive expansion of predatory lending in all 50 states if the rule is permitted to remain in effect. Congress must pass the Congressional Review Act (CRA) resolution introduced by Senators...
May 3, 2021
WASHINGTON, D.C. – Last Friday, credit unions and advocates registered their strong opposition to a proposal by the National Credit Union Administration (NCUA) that would allow credit union subsidiaries to engage in predatory lending that is explicitly illegal for federal credit unions. The proposal by NCUA, which regulates credit unions across the country, would do significant harm by permitting high-cost lending to credit union members and consumers. The harm may be especially pronounced for communities of color, which are disproportionately impacted by predatory lending. The Center for...
April 28, 2021
Video highlights, below, on the harms of predatory rent-a-bank schemes WASHINGTON, D.C. – Today, the U.S. Senate Committee on Banking, Housing, and Urban Development held a hearing, “The Reemergence of Rent-a-Bank?,” focused on legislation to rescind a bank regulator rule that facilitates this predatory lending scheme. The regulation, issued by the Office of the Comptroller of the Currency (OCC), can be eliminated through a legislative tool that prevents the possibility of a Senate filibuster, but that action must be taken before an upcoming deadline in May. Video highlights of the...
April 21, 2021
WASHINGTON, D.C. - Today, the U.S. Senate confirmed Vanita Gupta to be Associate Attorney General at the U.S. Department of Justice (DOJ). Gupta is the first woman of color to hold the position. Center for Responsible Lending President Michael Calhoun issued the following statement: Vanita Gupta is an accomplished advocate and litigator who has led the Civil Rights Division at the U.S. Department of Justice (DOJ) under President Barack Obama. Her history of public service and proven track record of fighting for civil rights and economic fairness is second to none. Ms. Gupta has...

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