WASHINGTON, D.C. – A Trump administration drive to flake out regulations on payday lenders won’t put the brakes on Ohio’s newly adopted defenses for payday lending clients, though it will decrease the defenses Ohio customers get under federal law.
Payday financing laws that Ohio adopted this past year are more stringent, in a lot of respects, than guidelines that the customer Financial Protection Bureau (CFPB) adopted in 2017 to help keep low-income borrowers from being caught in a period of financial obligation, states previous CFPB manager Richard Cordray.
“Those measures is certainly going ahead no matter what occurs during the federal level,” claims Cordray, A Democrat whom left the CFPB to unsuccessfully run for Ohio governor soon after the federal payday financing guidelines he endorsed had been finalized. “Our CFPB put up a federal flooring and would not affect states doing more.”
Danielle Sydnor, whom heads the NAACP’s Cleveland branch, views lending that is payday a “necessary evil” providing you with tiny short-term loans to those with slim credit who lack cost cost savings to fund emergencies like car repairs. Continue reading “Federal improvement in payday financing limitations won’t undermine Ohio legislation”