Consumer Financial Protection Bureau Proposes Rules To Rein In Payday Lenders

Each month, more than 200,000 needy U.S. households take out what’s advertised as a brief loan. Many have run out of money between paychecks. So they obtain a “payday” loan to tide them over. The problem is, such loans can often bury them in fees and debts. Their bank accounts can be closed, their cars repossessed.

The Consumer Financial Protection Bureau proposed rules Thursday to protect Americans from stumbling into what it calls a “debt trap.” At the heart of the plan is a requirement that payday lenders verify borrowers’ incomes before approving a loan.

ABC’s Jim Ryan joined us Friday morning to discuss.

Your Wake Up Call airs every weekday from 6-9 a.m. on AM 820 News in Tampa, 1190 News in Orlando and 1060 News in Melbourne.

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News Talk Florida Staff