Press Releases

Today, the Consumer Financial Protection Bureau released a report highlighting the need for robust reform on bank overdraft practices. In response Center for Responsible Lending president Mike Calhoun comments: Today's release underscores the urgent need for reform on banks fees – particularly the practice of tacking on fees on debit card transactions that could be denied at no cost. A report by the Consumer Financial Protection Bureau found that overdraft fees on debit cards typically exceed the amount of the overdraft itself. The CFPB's examination found that the median debit card

Today, the Consumer Financial Protection Bureau released a report highlighting the need for robust reform on bank overdraft practices. In response Center for Responsible Lending president Mike Calhoun comments: Today's release underscores the urgent need for reform on banks fees – particularly the practice of tacking on fees on debit card transactions that could be denied at no cost. A report by the Consumer Financial Protection Bureau found that overdraft fees on debit cards typically exceed the amount of the overdraft itself. The CFPB's examination found that the median debit card

Washington, D.C. – Today, the Consumer Financial Protection Bureau and 13 state attorneys general issued an enforcement action against Colfax Capital Corporation and Culver Capital, LLC, known as Rome Finance, for targeting servicemembers and consumers with expensive debt that was not properly disclosed and for attempting to collect illegal debts. The Consumer Federation of America, Americans for Financial Reform, National Association of Consumer Advocates, Center for Responsible Lending, and the National Consumer Law Center (on behalf of its low-income clients) issue the following statement

Today, the Consumer Financial Protection Bureau released a proposed rule to improve the Home Mortgage Disclosure Act (HMDA). In response Center for Responsible Lending president Mike Calhoun comments: We congratulate the Consumer Financial Protection Bureau for the agency's continued commitment to responsible lending. This is an important step forward in using data and transparency to promote fair lending. Since the Home Mortgage Disclosure Act was enacted, it has provided critical information to both the public and financial sectors – information that has been used to identify housing trends

Today, the US Department of Justice announced a $7 billion settlement with Citigroup; the financial institution will pay a record-setting $4 billion penalty for misleading investors about securities that included toxic mortgages. Center for Responsible Lending executive vice president Debbie Goldstein comments on the settlement below. CRL is a nonprofit research and advocacy organization focused on consumer lending. In December 2006, CRL published Losing Ground, the first comprehensive, nationwide review of millions of subprime mortgages and predicted the subprime mortgage crisis that began in

Today, the Consumer Financial Protection Bureau (CFPB) took action against the Texas-based financial services company ACE Cash Express. The agency found that the company employed abusive and illegal tactics to collect debts and trap borrowers into a cycle of debt. ACE will pay $5 million in refunds to borrowers and $5 million in fines. Center for Responsible Lending president Mike Calhoun responds: We are gratified that the Consumer Financial Protection Bureau is using its supervisory authority to take enforcement action against abusive, predatory lenders. Today's development is especially

A new report from the Center for Responsible Lending (CRL) finds that the debt settlement remains a risky strategy for debt reduction – and often leaves consumers more financially vulnerable. Debt settlement companies offer the promise of settling a consumer's debt for a fraction of what they owe. The idea is simple: debt settlement companies offer to negotiate down the outstanding debt (usually from credit cards) owed to a more manageable amount so that a consumer can become debt free. Unfortunately debt settlement carries significant risks that may result in consumers becoming even worse off

On Tuesday, Senator Tom Harkin (D – IA) introduced a bill reauthorizing the Higher Education Act, the Higher Education Affordability Act, aimed in part at reducing the burden of student loans on borrowers and addressing abuses in student lending. In response to the bill, Center for Responsible Lending Senior Policy Counsel Maura Dundon said: The Center for Responsible Lending applauds Senator Harkin for his commitment to higher education and making substantive reforms protecting students as consumers of financial products and services. The proposed Higher Education Affordability Act makes

Contact: Harkin Press Office (202) 224-3254

Operation Choke Point Protects American Businesses, Consumers On Tuesday, the Senate will consider an amendment to the Commerce-Justice-Science Appropriations bill that would eliminate funding for a Department of Justice program called "Operation Chokepoint." Center for Responsible Lending president Mike Calhoun responds: It's clear that the mythology that Operation Chokepoint detractors have been marketing has reached our nation's lawmakers and legislators. Despite what critics claim, Operation Chokepoint is a critical program that protects American businesses and consumers. This program