CRL in the News

Melissa Stegman, senior policy counsel on the federal policy team of Center for Responsible Lending, a nonprofit, nonpartisan organization based in Washington, D.C., said she thinks legislative action to get rid of the CFPB is “extremely unlikely. My impression is that there isn’t even much of an appetite to do that legislatively, because Mulvaney is already doing it through the...

Earlier this week, Bank of America (BoA) announced that it is discontinuing its free checking product for customers with low balances and switching them to BoA Core Checking accounts that charge an upfront $12 monthly fee. The fee can be waived if the customer maintains a daily minimum balance of $1,500 or has a monthly direct deposit of $250. Further...

“This report is disheartening but not surprising. Years of data show that unfair, racially discriminatory treatment of consumers is a growing problem in the auto lending industry. This is especially true for low-income families of color, where a car is often one of the biggest purchases made by a household,” said Mike Calhoun, president of the Center for Responsible Lending.

The “checks cashed” storefronts that line the main drags of poor communities across the country are largely linked to large banking monopolies, sucking assets from poor communities to pad multinational capital flows. According to the Center for Responsible Lending (CRL), average interest rates for payday loans are nearly 400 percent APR. The CFPB’s rule was long overdue, after five years...

Mike Calhoun, president of the Center for Responsible Lending, is among consumer watchdogs who are upset that Trump recently chose Mulvaney, a former Republican congressman and current White House budget director, to run the consumer bureau.

The Center for Responsible Lending estimates that payday and car-title lenders rake in about $8 billion a year in combined fees from beleaguered borrowers. Clearly there’s a role for short-term loans in uncertain economic times. The CFPB’s rules were intended to prevent people from falling into inescapable debt traps.

Debbie Goldstein, executive vice president at the Center for Responsible Lending: So I think this is shocking and disappointing but maybe not surprising…. However, what the CFPB's intent was was to set up a reasonable cushion for reserves for unexpected expenses, just like any of us might do to make sure we have enough for our expenses. In the CFPB's...

Rebecca Borné, Senior Policy Counsel at the Center for Responsible Lending (CRL) blasted the move, saying payday loans with triple digit interest rates need stronger regulation. "For more than five years, the Consumer Financial Protection Bureau studied the issue, welcomed public input, and crafted a rule to help stop the payday loan debt trap," Borné said in a statement to...

Last year, the Obama administration enacted new rules regarding payday lending. They haven't yet come into effect. Now, the Consumer Financial Protection Board says it will reconsider the tighter regulation that would have required payday lenders to make sure the people they lend to can actually repay their loans. The rule was bitterly opposed by some in the lending industry...

“Today’s announcement is a big deal and could become a terrible deal for consumers,” said Rebecca Borné, senior policy counsel at the Center for Responsible Lending. “The human devastation caused by payday loans, which average nearly 400 percent APR, has been extensively documented.”