Information Launch. Report: Review of Payday Complaints Reveals Requirement For More Powerful Federal Protections
CONTACT:Mike Litt, U.S. PIRG Education Fund workplace: (202) 461-3830 Cell: (702) firstname.lastname@example.org
Report: Review of Payday Complaints Reveals Requirement For More Powerful Federal Protections
Washington, D.C. – customer complaints about pay day loans to your customer Financial Protection Bureau (CFPB) reveal a need that is critical strengthening the agencyвЂ™s proposed guideline to rein in payday advances along with other high-cost financing, relating to a study released today by the U.S. PIRG Education Fund.
вЂњOur analysis of written complaints into the CFPB discovered significant proof of the significant problem with pay day loans:
borrowers canвЂ™t manage these loans and become caught in a period of financial obligation. Ninety-one % (91%) of written complaints had been pertaining to unaffordability,вЂќ said Mike Litt, Consumer Advocate using the U.S. PIRG Education Fund.
Some findings that are key
- Ninety-one(91 that is percent) of all of the written explanations revealed indications of unaffordability, including abusive business collection agencies methods, bank-account closures, long-lasting rounds of financial obligation, and bank charges like overdraft charges as a result of collection efforts.