|Americans of all political stripes overwhelmingly support reform of the predatory payday lending industry. But the CFPB, under a new leader, has proposed to gut the rule by repealing the critical ability-to-repay provisions.
The current payday loan rule, originally scheduled to go into effect in 2019, adopts common sense protections that responsible lenders already follow. Lenders that make loans of 45 days or less or balloon payment loans must make a reasonable determination that borrowers can afford to repay the loan while meeting other expenses. Payday lenders may make only a limited number of loans without assessing ability to repay. But the CFPB has no proposed to repeal the bulk of the rule, leaving it toothless. Comments on the proposal are due May 15.
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- Submit comments to the CFPB by May 15, 2019 telling it to retain the payday loan rule.
- Tweet at your senators and representatives using #StoptheDebtTrap to urge them to support state interest rate caps and other protections from 400% interest rate payday and car-title loans.
- Write a letter to the editor of your local newspaper urging the CFPB to uphold its rule to reform payday lending. Here’s how!
- Share your stories about how predatory payday lending has harmed you or your community.