AUSTIN (Nexstar) — The Consumer Financial Protection Bureau is searching to roll back a rule that would need payday and car name loan providers check a borrower’s capability to repay the mortgage.
“To maybe not glance at the cap cap cap ability for the debtor to repay provides some concern,” Ann Baddour, manager for the Fair Financial Services Project at Texas Appleseed, stated.
The Bureau worries the guideline, planned to get into impact this August, would “reduce use of credit and competition in states which have determined it stated in a release on the agency’s website that it is in their residents’ interests to be able to use such products, subject to state-law limitations.