CRL in the News

The industry has faced accusations that it emotionally manipulates users and glamorizes debt, using social media influencers to drive adoption and marketing slogans such as this one from 2018: “Broke AF but strongly support treating yourself? Afterpay is now instore.” Using pay-in-four for groceries and other everyday essentials suggests economic precariousness, says Andrew Kushner, policy counsel at the Center for...

It can be difficult to get a refund if something goes wrong with the purchase, according to Charla Rios, deputy director of research at the Center for Responsible Lending, a nonprofit organization that educates the public about financial products. “They don't come with the same protections of credit cards, so the consumer may end up with no merchandise at all...

Buy now, pay later (BNPL) apps have quickly risen in popularity – accounting for $142 billion in e-commerce transactions last year, according to a report from Worldpay. But some customers have reported that it can be difficult to get a refund if something goes wrong with the purchase, according to Charla Rios, deputy director of research at the Center for...

To take her first steps onto the storied yard of her dream school, Bianca Jones didn’t just get the grades and write a strong application; she applied for five different types of financial aid, including a work –study position. She took on additional jobs, but still came up short of what she needed to pay for her Howard University education...

ARMs today are less risky, thanks in part to borrower protections established by the Dodd-Frank Act, according to Ricard Pochkhanawala, senior policy counsel at the National Center for Responsible Lending. Dodd-Frank required lenders to fully document a borrower’s income and assets and their ability to repay an ARM before the loan was made, and it said that borrowers must qualify...

In response to the risks posed by the BNPL industry, a push for regulation has also emerged. In March, 77 nonprofit organizations, including the Center for Responsible Lending and the Association for Financial Counseling & Family Education, called on the Consumer Financial Protection Bureau to implement stronger regulations on buy now, pay later companies. For its part, the CFPB has...

Very long mortgages are unlikely to become a big thing in the U.S. One of the main obstacles that stands between American consumers and longer mortgages is a set of regulations that emerged after the financial crisis of 2008. Eric Stein, senior vice president at the Center for Responsible Lending, told Inman that in the run-up to the housing bubble...

“So at a high level, we sort of know,” said David Silberman, a senior fellow at the Center for Responsible Lending, “but precisely what, what ‘credit history’ means and how it’s scored? Or what ‘types of credit’ means and how it’s scored? That’s all black box.” Nevertheless, there is an entire industry promising easy fixes to improve credit scores, some...

It would be a game changer,” said Rochelle Sparko, director of NC policy at the Durham-based Center for Responsible Lending, which has advocated for...

In North Carolina, about 1.3 million borrowers have student loans and owe about $48 billion, according to the Center for Responsible Lending.