National Auto Repair Chains Must Stop Offering Predatory Loans Through EasyPay Finance and TAB Bank

Advocates urge auto repair chains, including AAMCO, Meineke, and Midas, to stop offering predatory auto repair loans with interest rates of as high as 189% WASHINGTON – Today, a coalition of consumer advocacy groups sent letters to major national auto repair chains AAMCO and Precision Tune Auto Care (Icahn Enterprises), Big O Tires and Midas (TBC Corporation), Grease Monkey (FullSpeed Automotive), JiffyLube, and Meineke (Driven Brands) urging their stores and franchisees to stop offering financing through EasyPay Finance and Utah-based TAB Bank, which issue loans at rates up to 189%, even in

Meineke Named in New Report on Deceptive Auto Repair Financing Practices

Auto repair chains like Charlotte-based Meineke, and local repair shops nationwide are steering customers to predatory lenders engaged in deceptive and abusive practices, charging up to 189% APR WASHINGTON – A new, just-released report by the Stop The Debt Trap coalition finds auto repair shops across the country, including Meineke, headquartered in Charlotte, are offering predatory loans through EasyPay Finance and Transportation Alliance Bank (TAB Bank) that promise no interest if paid in 90 days but end up costing as much as 189% – even in states where an interest rate that high is illegal

New Report and Consumer Alert Flag Deceptive Auto Repair Financing Practices

National auto repair chains like AAMCO, JiffyLube, Meineke, and Midas, and local repair shops are steering customers to predatory lenders engaged in deceptive and abusive practices, charging up to 189% APR WASHINGTON – A report released today by the Stop The Debt Trap coalition finds auto repair shops across the country are offering predatory loans through EasyPay Finance and Transportation Alliance Bank (TAB Bank) that promise no interest if paid in 90 days but end up carry annual interest rates up to 189% – even in states where a rate that high is illegal. The report highlights some of the

Julia Gordon Confirmed to be Assistant Secretary of Housing and Urban Development and FHA Commissioner

WASHINGTON, D.C. – The Senate today approved the nomination of Julia Gordon to be Assistant Secretary of Housing and Urban Development and FHA Commissioner. In response, Mike Calhoun, president of the Center for Responsible Lending (CRL), made the following statement : CRL congratulates Julia Gordon on her confirmation today to lead FHA. She is a dynamic executive who has worked on affordable housing issues across the spectrum, including for rural and low-income borrowers. Ms. Gordon brings extraordinary experience and skills to FHA at a time when all housing market participants must act with

CRL Research Finds Higher Amounts of Student Debt Cancellation Are Required to Provide Significant Relief to Low-Wealth and Borrowers of Color, Help Stabilize the Middle Class and Boost National Economy

WASHINGTON – New research released today by the Center for Responsible Lending (CRL) shows that cancelling $10,000 of federal student loan debt—the minimal amount most often discussed— would only retire 22 percent of Black student debt and 28 percent of Latino debt . It would also provide similarly limited relief to other borrowers, including first generation college students and those already unable to pay their student debt. In contrast, larger levels of cancellation would provide substantial relief for low-wealth and low-income borrowers who need it the most. For example, $50,000 of

Bank Regulators’ Proposal to Modernize CRA Rules

WASHINGTON, D.C. – Federal banking regulators today announced proposed rules to revise and modernize the Community Reinvestment Act (CRA). In response, Mike Calhoun, president of the Center for Responsible Lending (CRL), made the following statement : Federal banking regulators today issued a notice of proposed rulemaking to modernize the rules that implement the Community Reinvestment Act (CRA). This represents a significant step forward in ensuring that financial institutions address the credit needs of Asian, Black, Latino, Native American, rural and other underserved communities. The

Consumer Advocates Urge CFPB to Protect Consumers From “Junk Fees”

WASHINGTON – In response to the Consumer Financial Protection Bureau’s (CFPB) call for public input on how to save Americans billions in junk fees charged by financial companies, leading consumer advocacy organizations submitted an extensive comment letter detailing junk fees across a wide range of consumer financial products and services. The letter was submitted by Americans for Financial Reform (AFR), the Center for Responsible Lending (CRL), Consumer Federation of America (CFA), the National Community Reinvestment Coalition (NCRC), and National Consumer Law Center (NCLC) (on behalf of its

CRL Financial Literacy Month Video Shows Why APR Matters and Why Payday Lenders Resist Clearly Disclosing It

Hiding Ability to Compare True Costs of Loan Options Lets Lenders Take Advantage of Consumers WASHINGTON – The Center for Responsible Lending (CRL) today released a video for Financial Literacy Month to educate the public on why readily providing the APR (annual percentage rate) of payday loans is essential to providing financial fairness for consumers, and to urge Congress and states that still have payday lending to pass a 36 percent rate cap for annual interest on these loans. Payday loans – also known as cash advance loans – cost American families more than $4 billion annually. Payday

CFPB Director Chopra’s Actions to Protect Consumers Deserve Praise, Not Criticism, at Congressional Hearings

WASHINGTON, D.C. – Starting today at 10 AM ET, Consumer Financial Protection Bureau (CFPB) Director Rohit Chopra testifies before the U.S. Senate Committee on Banking, Housing, and Urban Affairs on the CFPB’s Semiannual Report to Congress. He will also testify on the report before the House Committee on Financial Services tomorrow at 10 AM ET. “Director Chopra’s actions to protect consumers from predatory financial practices deserve praise, not criticism, from Congress,” said Mike Calhoun, president of the Center for Responsible Lending . “American families need protections from abusive

CRL Statement on Department of Education’s Recent Changes to Student Loan Programs

WASHINGTON, D.C. – The U.S. Department of Education announced today changes to its income-driven repayment (IDR) programs that will allow thousands of borrowers to receive immediate relief. About 40,000 borrowers are also scheduled to have their loans cancelled through the Department’s Public Service Loan Forgiveness (PSLF) program. In response, Jaylon Herbin, outreach and policy manager at the Center for Responsible Lending (CRL) , made the following statement: We are pleased that thousands of borrowers will benefit from this long-awaited policy change that will finally provide low-income and