CFPB: Write a Strong Payday Lending Rule

Director Richard Cordray, the Consumer Financial Protection Bureau

After decades of payday lenders trapping vulnerable, low-income people in a cycle of debt, we’re finally on the cusp of new rules to limit abuses in these loans. But the industry is giving everything they can to make sure they can keep making billions by ripping people off when they’re in hard times.

In Senate hearings earlier this month, Senator Elizabeth Warren compared payday loans to throwing a brick to a drowning man. With the Consumer Bureau on the verge of proposing a rule to limit payday, car title, and installment lending abuses, the payday lenders and their allies are also throwing bricks at the agency itself. That’s why it is especially important for people like us to weigh in and tell the Consumer Financial Protection Bureau (CFPB) that we are counting on them to write strong rules

Tell the CFPB: Write Strong Rules to End the Debt Trap once and for all!

To: Director Richard Cordray, the Consumer Financial Protection Bureau
From: [Your Name]

We thank you and your colleagues for your concerted efforts to address the problems of predatory consumer lending.

As you continue to work on regulations for payday and other small dollar loans, we urge you to insist that such lenders across the board actually take the steps to determine a borrower’s ability to repay, and not to create loopholes that undermine this requirement.

We are counting on you to craft regulations tough and broad enough to head off industry evasion that would bring back the same abuses in slightly different form.