Today, the Federal Trade Commission (FTC) announced it would charge a payday lending group with using “inflated fees” and making illegal threats when its customers were unable to pay. The action is part of a large-scale campaign against outfits that target low-income and financially-strapped consumers.
Payday lenders have for years circumvented state laws by becoming affiliated with Native American tribes, which are often exempt from such statutes. The FTC, however, is claiming that the tribes are not exempt from adhering to laws at the federal level, making tribal affiliation for payday lenders moot. Read the rest of this entry
On Wednesday, President Obama announced that he was using a recess appointment to make Richard Cordray the first Director of the Consumer Financial Protection Bureau (CFPB). Cordray had gone through intense questioning during a confirmation battle, only to see his appointment held up for months by some Senators’ qualms with the CFPB’s authority (and not with Cordray himself, who even many detractors found to be qualified).
So what does this mean for the low-income families we serve? Read the rest of this entry