The Consumer Financial Protection Bureau's lengthy proposed rule on short-term lending - spanning 1,333 pages - ignores consumers' needs and preferences and creates a more complex lending and borrowing environment for operators and consumers alike. Below is an infographic that provides context and displays potential impact.
Americans would be better served by a competitive, regulated financial marketplace where all lenders operate on a level regulatory playing field and that balances consumer safeguards and access to credit. Such an environment would enable informed decisions that match consumers' personal situations, and allow lenders to compete for business with proper incentives to ensure the flow of credit.
During the public comment period on the rulemaking, Advance America urges the CFPB to consider the voices and borrowing rationale of payday loan customers. Failing to do so will hurt the very consumers they are aiming to protect.