Press Releases

One third of the nation's population will soon be free of a practice that has stripped billions per year from the paychecks of low-wealth Americans over the past two decades, as Governor Ted Strickland signs a law today capping interest rates at 28 percent in Ohio. Enforcement of a two-digit rate will save citizens $1.74 billion per year in fifteen...

Bringing an end to the practice of trapping borrowers in 400 percent payday loans, the governor of Ohio promises to sign a 28 percent interest rate cap finalized by the Ohio House today, a reform that passed the State Senate last week and had already passed the Ohio House. The measure had strong bipartisan support, including sponsorship and support by...

New rules on overdraft practices proposed by federal banking regulators represent a significant acknowledgment that something is wrong with the banking system in the U.S., consumer groups said. Unfortunately, the proposed rules will largely fail to protect the billions of dollars in funds stripped from American bank accounts through excessive overdraft fees every year. Representatives from the Consumer Federation of...

Rules Take Positive First Step to Rein in Unjust Interest Rate Hikes and Billing Practices; Groups Call on Congress to Provide Additional Consumer Protections Representatives of national consumer organizations today applauded federal banking regulators for proposing initial rules to curb some abusive credit card lending practices. The groups also called on Congress to provide additional consumer protections not proposed by...

In its April 10, 2008 press release, HOPE NOW claimed that the program, by facilitating voluntary workouts by servicers, has enabled 1.2 million homeowners to stay in their homes. The release touts this statistic, as well as the high proportion of subprime loan workouts comprised by loan modifications, as evidence of the industry's commitment and ability to prevent foreclosures. However...

Same borrower qualifications, same loan, but very different prices >> Read the report New research by the Center for Responsible Lending shows that subprime borrowers with brokered loans pay significantly more than their counterparts who deal directly with lenders. In the first four years of a mortgage, a typical subprime borrower who has gone through a broker pays $5,222 more...

Today, we are reporting that mortgage brokers gave subprime borrowers overpriced home loans, even as they provided competitive rates to people with stronger credit. For brokered loans made between 2004 and 2006, we estimate that typical subprime borrowers will pay $5,222 more in interest over four years than if they had gotten the same loan directly from a lender. These...

Same borrower qualifications, same loan, but very different prices >> Read the report New research by the Center for Responsible Lending shows that subprime borrowers with brokered loans pay significantly more than their counterparts who deal directly with lenders. In the first four years of a mortgage, a typical subprime borrower who has gone through a broker pays $5,222 more...

Good morning. This is Ted Lieu, and I represent parts of Los Angeles County, including Torrance, Redondo Beach, Marina del Rey and West Los Angeles, in the California Assembly. I want to thank the Center for Responsible Lending for inviting me to take part in the release of this critical research on broker pricing patterns. As many of you know...

For more information: Kathleen Day at(202) 349-1871 or kathleen.day@responsiblelending.org; Sharon Reuss at (919) 313-8527 or sharon.reuss@responsiblelending.org; or Ginna Green at (510) 379-5513 or ginna.green@responsiblelending.org.