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Mick Mulvaney Supports Payday Loan Debt Traps

Tuesday, December 5, 2017
Scott Astrada

Mulvaney’s Call for Congress to Rescind Basic Borrower Protection Shows He Sides with Loan Sharks Over Consumers

WASHINGTON, DC – OMB Director Mick Mulvaney, who is unlawfully behaving as Acting Director of the Consumer Financial Protection Bureau (CFPB), last night voiced support for a Congressional Review Act to repeal the Consumer Bureau rule on payday and car-title loan debt traps.

Center for Responsible Lending Director of Federal Advocacy Scott Astrada issued the following statement:

The Consumer Financial Protection Bureau was established to prevent Americans from losing their money and their freedom to the tricks and traps of financial predators. With their 300%+ interest rates, payday lenders provide the archetypal debt trap. After more than five years of study and public engagement, the Consumer Bureau released a commonsense consumer protection that requires lenders to check a borrower’s ability-to-repay. In opposing this baseline protection, Mulvaney is siding with payday loan sharks instead of consumers.

As a Member of Congress, Mick Mulvaney wrote legislation (H.R. 4737) – before the Consumer Bureau payday rule was final – that would have let states opt out the rule and delayed its issuance and enforcement.

For more information, or to arrange an interview with a CRL spokesperson on this issue, please contact Matthew Kravitz at matthew.kravitz@responsiblelending.org or 202-349-1859.