Payday & Installment Loans Archives

Advocates Praise D.C. Attorney General Suit Against Predatory High-Cost Rent-a-Bank Lender

June 5, 2020

Elevate charged 99% to 251% APR despite D.C.’s 6% to 24% rate cap FOR IMMEDIATE RELEASE: JUNE 5, 2020 National Consumer Law Center Contacts: Jan Kruse ([email protected]), Lauren Saunders ([email protected]) Washington, D.C. – Consumer advocates praised today’s announcement by District of Columbia (DC) Attorney General Karl Racine that he has filed a lawsuit against online lender…

Advocates Condemn Rent-a-Bank Rule that Encourages Predatory High-Cost Loans; Call on Congress to Pass Federal 36% Interest Rate Cap Limit

May 29, 2020

FOR IMMEDIATE RELEASE: MAY 29, 2020 Media Contacts: National Consumer Law Center: Jan Kruse ([email protected]) Center for Responsible Lending: Matthew Kravitz ([email protected]) Americans for Financial Reform Education Fund: Carter Dougherty ([email protected]) Washington, D.C. – Consumer advocates slammed the Office of the Comptroller of the Currency (OCC) for its final rule issued today that encourages online…

FDIC to Repeal 36% Rate Cap and Bank Payday Loan Guidance, but Banks Should Not Take the Bait

May 20, 2020

New bank regulator guidance could permit balloon-payment loans but emphasizes responsible lending WASHINGTON, D.C. – As our nation grapples with the economic fallout of the COVID-19 pandemic, the Federal Deposit Insurance Corp. (FDIC) announced plans today to repeal two guidances that protect consumers against high-cost bank payday loans over 36%, and four federal bank regulators…

Civil Rights and Consumer Groups Condemn “Emergency” Regulatory Guidance that Allows Banks to Make Payday Loans

March 26, 2020

Banks should not embrace this terrible idea, especially as they are borrowing for free Washington, D.C. – Today, under the cover of a national crisis, the Consumer Financial Protection Bureau (CFPB), Federal Deposit Insurance Corporation (FDIC), Office of the Comptroller of the Currency (OCC), Federal Reserve Board (FRB), and the National Credit Union Administration issued…

Predatory Installment Lending in the States: 2020

February 28, 2020

his report surveys the battleground as of 2020. It reports on the annual percentage rates (APRs) that the 50 states and the District of Columbia allow nonbank lenders to charge for a sample $500 six-month loan and a sample $2,000 two-year loan.

Consumer and Civil Rights Groups Strongly Oppose FDIC Rent-a-Bank Payday Proposal that Would Sidestep State Interest Rate Caps

February 5, 2020

Washington, D.C. – Eleven national consumer and civil-rights groups submitted a comment letter late yesterday to the Federal Deposit Insurance Corporation (FDIC) strongly opposing the federal banking regulator’s proposal, which risks green lighting triple-digit rent-a-bank schemes. High-cost lenders use these schemes to funnel their loans through rogue banks to try to avoid state limits on…

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