Fix the Loophole that Lets Predatory Lenders Rip People Off

Fix the Loophole that Lets Predatory Lenders Rip People Off

A loophole in California Financing Law lets predatory lenders charge virtually any interest rate for loans over $2,500, which is disproportionately harming the financial stability of  low-income families of color. Assembly Bill 539, The Fair Access to Credit Act would keep already vulnerable communities from falling further into a cycle of poverty by capping interest rates.    California Needs to Fix the Loophole that Lets Predatory Lenders Rip People Off The average annual percentage rate in 2015 for payday loans in California was 366 percent. That, to put it bluntly, is a rip-off, but we can fix it this year: Assembly Bill 539 — “The Fair Access to Credit Act”…
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To Fight Redlining, Community Should Lead CRA Reforms

To Fight Redlining, Community Should Lead CRA Reforms

Once again, the Trump administration is advancing an agenda that favors banks to the detriment of communities of color. Office of the Comptroller of the Currency head Joseph Otting proposes to gut the Community Reinvestment Act — an over 40-year-old law created to fight redlining. The CRA requires banks to make investments in low-income neighborhoods through actions like making accessible home loans, having branches in low-income neighborhoods, and supporting small businesses in an attempt to make up for decades of race-based disinvestment. Under the direction of Otting, a former banker and current friend to banks, the OCC has released an Advanced Notice of Proposed Rulemaking that essentially proposes to weaken…
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