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Grewal Joins Other AGs In Battle Over Soothing Payday-loan Rules

Grewal Joins Other AGs In Battle Over Soothing Payday-loan Rules

Earlier in the day this current year, the buyer Financial Protection Bureau proposed repealing elements of the guideline, which calls for lenders to evaluate a borrower’s ability to settle most payday, vehicle-title and similar loans before expanding credit.

The CFPB investigated these loans and in 2017 said it had determined lenders used “unfair and abusive practices” that kept borrowers stuck in a cycle of debt, never able to fully repay loans due to exorbitant interest rates — as high as 300 percent a year for payday loans as part of a five-year process undertaken largely during the Obama administration that included a review of more than a million comments.