High-Cost Credit

Fintech & Disguised Credit

New forms of credit can pose new problems and old ones, often evading consumer protections. Buy now pay later credit, earned wage advances and other cash advance apps, and other new forms of credit can pose a number of risks. Rent-to-own (RTO) and lease-to-own sales may be exempt from or violate lending laws. New underwriting methods also impact the safety of credit. NCLC works to ensure that new and evasive forms of credit have strong consumer protections.

160+ Groups Urge Clear Fee Disclosures for Paycheck Advance Apps in Letter to the CFPB

August 29, 2024

Coalition letter calls for clearer cost and fee disclosures for workplace payday loans. 

Read More about: 160+ Groups Urge Clear Fee Disclosures for Paycheck Advance Apps in Letter to the CFPB
August 1, 2024
October 11, 2023

Recent

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NCLC, CRL & CFA Comments in Support of CFPB’s Proposed Interpretive Rule on Earned Wage Advances

August 30, 2024

160+ Groups Urge Clear Fee Disclosures for Paycheck Advance Apps in Letter to the CFPB

August 29, 2024

165 Organizations and Academics Support the CFPB’s Paycheck Advance Interpretive Rules

August 29, 2024

NCLC & Consumer Reports Comments to CFPB Regarding Buy Now, Pay Later Loans Interpretive Rule

August 1, 2024

90 Consumer, Civil Rights and Community Organizations and Academics Comments to CFPB Regarding Buy Now, Pay Later Loans Interpretive Rule

August 1, 2024

Consumer Advocates Support CFPB’s Interpretive Rule on Buy Now Pay Later Loans, Call For Additional Consumer Protections

August 1, 2024

Comment on California Earned Wage Advance Regulation

July 24, 2024

Los Angeles Times: Federal regulators step up their campaign against predatory payday lenders and their rip-offs

July 24, 2024

CFPB Halts Worker Payday Loan Evasions

July 18, 2024

Comments & Letters

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NCLC, CRL & CFA Comments in Support of CFPB’s Proposed Interpretive Rule on Earned Wage Advances

August 30, 2024

165 Organizations and Academics Support the CFPB’s Paycheck Advance Interpretive Rules

August 29, 2024

NCLC & Consumer Reports Comments to CFPB Regarding Buy Now, Pay Later Loans Interpretive Rule

August 1, 2024

90 Consumer, Civil Rights and Community Organizations and Academics Comments to CFPB Regarding Buy Now, Pay Later Loans Interpretive Rule

August 1, 2024

Comment on California Earned Wage Advance Regulation

July 24, 2024

Opposition to H.R. 7440 (McHenry) Financial Services Innovation Act of 2023

April 16, 2024

Comments to Calif. DFPI on Revised Earned Wage Advance Regulations

November 27, 2023

Comments on California DFPI Proposed Rules on Earned Wage Advances and Other Fintech Cash Advances

May 17, 2023

Comments to California Department of Financial Protection and Innovation Regarding Education Financing and Student Debt Relief Services

May 17, 2023

Reports

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Fintech and Consumer Protection: A Snapshot

March 1, 2019

The Rent-to-Own Racket: Using Criminal Courts to Coerce Payments from Vulnerable Families

February 5, 2019

Paper Statements: An Important Consumer Protection

March 1, 2016

Issue Briefs

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State Recommendations for Earned Wage Advances and Other Fintech Cash Advances

October 11, 2023

Earned Wage Advances and Other Fintech Payday Loans: Workers Shouldn’t Pay to be Paid

April 20, 2023

Data on Earned Wage Advances and Fintech Payday Loan “Tips” Show High Costs for Low-Wage Workers

April 10, 2023

Testimony

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Testimony Before Maryland Senate on Amended HB 246: Earned Wage Access and Credit Modernization

March 26, 2024

Testimony Opposing Maryland HB 1425/SB 998 Earned Wage Access

March 1, 2024

Testimony in Support of Hawaii SB 2664 on Earned Wage Advances

February 14, 2024

Testimony in Support of Maryland HB 246

January 23, 2024

Testimony on Vermont H.87 Regarding Earned Wage Access Service Providers

March 13, 2023

Testimony of Lauren Saunders Before the U.S. House Task Force on Financial Technology on Buy Now, Pay Later and Other Fintech Cash Flow Products

November 1, 2021

Testimony Before House Financial Services on Examining Rental Purchase Agreements and the Potential Role for Federal Regulation

July 26, 2011

Press Releases & News

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160+ Groups Urge Clear Fee Disclosures for Paycheck Advance Apps in Letter to the CFPB

August 29, 2024

Consumer Advocates Support CFPB’s Interpretive Rule on Buy Now Pay Later Loans, Call For Additional Consumer Protections

August 1, 2024

Los Angeles Times: Federal regulators step up their campaign against predatory payday lenders and their rip-offs

July 24, 2024

CFPB Halts Worker Payday Loan Evasions

July 18, 2024

American Banker: ‘I’m left with nothing’: Life inside the Synapse collapse

June 24, 2024

The New York Times: ‘Buy Now, Pay Later’ Borrowers Get More Safeguards With New Rule

May 31, 2024

CFPB Improves Protections for Buy Now Pay Later Loans

May 22, 2024

CFPB’s SoLo Funds Enforcement Action is a Warning for Fintech Payday Lenders

May 20, 2024

Associated Press: These apps allow workers to get paid between paychecks. Experts say there are steep costs

April 26, 2024

Legislation

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Letter Opposing H.R. 7428 (Steil), Earned Wage Access Consumer Protection Act

April 16, 2024

Opposition to H.R. 7440 (McHenry) Financial Services Innovation Act of 2023

April 16, 2024

Testimony Before Maryland Senate on Amended HB 246: Earned Wage Access and Credit Modernization

March 26, 2024

Testimony Opposing Maryland HB 1425/SB 998 Earned Wage Access

March 1, 2024

Testimony in Support of Maryland HB 246

January 23, 2024

Letter Opposing Nevada Earned Wage Advance Bill

May 9, 2023

Letter Analyzing Nevada Earned Wage Advance Bill

March 16, 2023

Testimony on Vermont H.87 Regarding Earned Wage Access Service Providers

March 13, 2023

Letter Opposing NJ Earned Income Access Bill

December 30, 2021

From the NCLC Digital Library

Consumer Credit Regulation

Innovative thinking and precise authority on predatory lending and other consumer credit, including analysis on other players in consumer accounts and payment systems.

Read Chapter One

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