CFPB Outlines Initial Plan for Rules on Payday Loans (3/26/15)
The Consumer Financial Protection Bureau on March 26 unveiled an initial plan to regulate payday loans, deposit advances, vehicle title loans, “high-cost” installment loans and open-ended lines of credit. The bureau said it will next send its proposals to a small business review panel, which may recommend changes before the CFPB formally proposes a rule.
ABA: CFPB Prepaid Rules Could Harm Underbanked Customers (3/24/15) The Consumer Financial Protection Bureau’s proposed rules for prepaid products include some onerous provisions that could create insurmountable compliance barriers for banks offering the cards, ABA said in a comment letter. This would be particularly harmful for “underbanked” individuals, many of whom rely on prepaid accounts as an alternative to traditional deposit products.