New House Bill Would Kill Consumer Watchdog Payday Loan Rule

CNBC covers the blockage of the Consumer Financial Protection Bureau’s payday loan rule.

Congress has it in for consumer protections enacted by the Consumer Financial Protection Bureau.

A congressional resolution introduced Friday in the House would kill the CFPB’s new rule aimed at making sure borrowers of so-called payday loans can afford to repay their debt. The House measure’s cosponsors (three Democrats and three Republicans) and the rule’s critics say it will block consumers’ access to payday loans, which are short-term, small-cash loans consumers often use when they are coming up short until their next paycheck.

“The rule would leave millions of Americans in a real bind at exactly the time need a fast loan to cover an urgent expense,” said Daniel Press, a policy analyst with the Competitive Enterprise Institute, in a statement after the bill’s introduction.

Read the full article at CNBC.