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Payday and Installment Loans

Payday lenders put consumers in a debt trap with balloon-payment loans of 300% APR or more. High-cost installment loans and lines of credit are a longer, deeper debt trap. NCLC fights predatory lending and supports affordable small dollar loans.

Predatory Installment Lending in the States (2022)

June 28, 2022

Forty-five states and the District of Columbia (DC) currently cap interest rates and loan fees for at least some consumer installment loans, depending on the size of the loan. However, the caps vary greatly from state to state, and a few states do not cap interest rates at all.

Read More about: Predatory Installment Lending in the States (2022)
March 15, 2022
March 1, 2022

Featured

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Misaligned Incentives: Why High-Rate Installment Lenders Want Borrowers Who Will Default

July 27, 2016

H.R. 9307: The SAFE Lending Act of 2022

November 17, 2022

Appeals Court Ruling on CFPB Threatens to Perpetuate Predatory Financial Practices

October 20, 2022

Predatory Installment Lending in the States (2022)

June 28, 2022

50-State Survey: State Predatory Lending Laws Show Significant Changes

June 22, 2022

State Rate Caps for $500 and $2,000 Loans

June 1, 2022

Predatory Auto Repair Loans by TAB Bank and EasyPay Finance

May 11, 2022

Consumer Alert: Deceptive Auto Repair Financing Practices

May 10, 2022

What States Can Do to Help Consumers: High Cost Loans

March 15, 2022

Comments & Letters

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Consumer Stories Show Congress Must Protect Consumers from Predatory Lending

February 1, 2022

Coalition Letter Supporting the Veterans and Consumers Fair Credit Act

July 29, 2021

Comments to NCUA Regarding CUSO Proposed Rule

April 30, 2021

Letter Regarding Use of the Congressional Review Act to Invalidate OCC True Lender Rule That Facilitates Predatory Lending

April 21, 2021

Letter Opposing Proposed “Fair Access to Financial Services”

January 4, 2021

Coalition Letter to the CFPB Opposing Payday Disclosure Testing

December 14, 2020

Comments to the Community Development Financial Institutions (CDFI) Fund Regarding Small Dollar Loan Program

September 10, 2020

Group Letter in Opposition to the E-SIGN Modernization Act of 2020

September 10, 2020

FDIC and OCC Support for Predatory Small Business Lender

October 24, 2019

Reports

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Predatory Installment Lending in the States (2022)

June 28, 2022

Predatory Auto Repair Loans by TAB Bank and EasyPay Finance

May 11, 2022

Predatory Puppy Loans by TAB Bank and EasyPay Finance

February 1, 2022

Predatory Installment Lending in the States: How Well Do the States Protect Consumers Against High-Cost Installment Loans? (2021)

May 27, 2021

Predatory Installment Lending in the States: 2020

February 28, 2020

Predatory Installment Lending in the States: A Larger and Longer Debt Trap? (2018)

October 1, 2018

Predatory Installment Lending in the States: States Battle to Restrain High-Cost Loans (2017)

October 1, 2017

Misaligned Incentives: Why High-Rate Installment Lenders Want Borrowers Who Will Default

July 27, 2016

Installment Loans: Will States Protect Borrowers from a New Wave of Predatory Lending? (2015)

July 30, 2015

Issue Briefs

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State Rate Caps for $500 and $2,000 Loans

June 1, 2022

What States Can Do to Help Consumers: High Cost Loans

March 15, 2022

After Payday Loans: Consumers Find Better Ways to Cope with Financial Challenges

March 1, 2022

Instead of Predatory Loans, a Variety of Strategies Can Help People to Address Budget Shortfalls

February 1, 2022

Federal Ability-To-Repay Requirements for Small Dollar Loans

November 1, 2021

Why Cap Interest Rates at 36%?

August 4, 2021

2021 Banking Agency Predatory Lending and Safe Banking Priorities

January 1, 2021

Payday Lenders Plan to Evade California’s New Interest Rate Cap Law Through Rent-A-Bank Schemes

October 1, 2019

Guidelines for Affordable Small Dollar Loans

January 30, 2014

Press Releases

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Appeals Court Ruling on CFPB Threatens to Perpetuate Predatory Financial Practices

October 20, 2022

50-State Survey: State Predatory Lending Laws Show Significant Changes

June 22, 2022

U.S. House Introduces 36% Rate Cap Bill to Curb High-Cost, Predatory Loans

November 17, 2021

NCLC’s Saunders Testifies on Buy Now, Pay Later and Other Fintech Cashflow Products

November 1, 2021

CFPB Urged to Reverse Earned Wage Actions that Threaten to Create Dangerous Fintech Payday Loan Loopholes

October 12, 2021

​NCLC ​Advocates Applaud 36% National Rate Cap Bill  to Curb High-Cost, Predatory Loans Across the Nation

July 29, 2021

New 50-State Survey Finds Gains and Losses for Consumers in Larger, Longer High-Cost Predatory Loans

May 27, 2021

Advocates Applaud Senate Repeal of National Banking Regulator’s Predatory Lending Rule; Urge the House to Act Soon

May 11, 2021

New Bank Regulator Leadership Welcome; Congress Still Must Roll Back Rule Promoting Predatory Lending

May 5, 2021

Legislation

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H.R. 9307: The SAFE Lending Act of 2022

November 17, 2022

Coalition Letter Supporting the Veterans and Consumers Fair Credit Act

July 29, 2021

From the NCLC Digital Library

Consumer Credit Regulation

Innovative thinking and precise authority on predatory lending and other consumer credit, including the latest payday and installment loans.

Read Chapter One

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