Lenders need clear rules of the road
The Consumer Financial Protection Bureau (CFPB) has launched enforcement actions that are overly broad and lack clear guidance.
Americans need credit and clear rules of the road. The CFPB can create reasonable regulations that protect consumers’ access to credit, which is crucial to financial stability and economic mobility.
Lenders are highly regulated at the state and federal levels and make every effort to play by the rules and serve our customers well.
AFSA’s members want to work with the CFPB to develop regulations that protect consumers while ensuring they have choices for their credit, and provide clear and easy to follow guidelines to lenders.
America’s Installment Lenders: 100 years of being there for working Americans
All Americans deserve access to credit.
Traditional installment loans give families peace of mind and the credit they need when they need it.
No hidden fees or endless debt cycles.
There’s no place in our economy for predatory lending from payday loan providers and other shady lenders.
Get the facts on the Annual Percentage Rate (APR)
APR is not the same as the “interest rate.”
Deceptive claims about APRs should not be used to set policies that harm consumers.
APRs do not determine whether a loan is affordable.
APRs are useful to compare similar loan products, like credit card offers or mortgages.
Rate caps prevent consumers from getting the loans they need
40% of Americans don’t have enough savings for emergencies.
Tens of millions turn to small dollar traditional installment loans to cover critical expenses.
A 36% rate cap would eliminate small dollar loan products.
At a 36% rate, consumers could not borrow less than $2,500, making loans needlessly more expensive or entirely unavailable.