CFPB’s Proposed Payday Lending Rules Are a Significant Step Towards Protecting Financially Vulnerable Communities from Predatory Wealth-Stripping Products

The proposed rules released by the Consumer Financial Protection Bureau (CFPB) this morning marks a significant step towards protecting consumers of small-dollar credit products from unscrupulous and predatory practices that are responsible for compromising the financial well-being of millions of low- and moderate income borrowers.

As a coalition committed to improving the opportunity for economic progress low‐ and moderate-income communities of color – The Asset Building Policy Network believes that vulnerable communities seeking to weather a short-term financial emergency should not be preyed upon, instead these communities should be provided with access to responsible and safe credit that does not put them into unwanted, long-term debt.

The CFPB’s long-awaited proposed rules take an important, and much needed, step toward achieving this goal. We applaud the Bureau for releasing their proposal and for the work it has done on this issue so far.

For more details about an individual Asset Building Policy Network member’s position on the CFPB’s proposed rules, please see the statements below*:

*The list of member statements will be updated as they are available.

To download a copy of this statement, click here.