Payday Loan Reform News – June 18




Federal judge rejects CFPB’s effort to halt payday rule
June 13, American Banker
A federal court dealt a blow to efforts by the Consumer Financial Protection Bureau to slow down the agency’s payday lending rule. U.S. District Judge Lee Yeakel on Tuesday denied the request by acting CFPB Director Mick Mulvaney that the court delay the payday rule’s effective date, which is set for next year.
More Coverage:
CFPB Payday Rule Will Go Live Next Year, Judge Says | Bloomberg
Texas Court Rules Against CFPB’s Payday Lending Act Delay |


Other News


Legal Aid official describes firing of advisers to federal consumer board
June 17, The Florida Times Union
Over 60 members of the Consumer Financial Protection Bureau’s three advisory boards comprised of volunteers from industry and consumer groups as wells as academics were all fired recently.


White House Confirms That Mulvaney Deputy Is Pick to Lead Consumer Bureau
June 16, The New York Times
Mick Mulvaney, the White House budget director and acting head of the Consumer Financial Protection Bureau, has picked a deputy at the budget office, Kathy Kraninger, to succeed him at the consumer watchdog agency, a White House spokeswoman confirmed on Saturday. REPOST:
More Coverage:
Trump’s consumer watchdog pick draws criticism from left and right | Reuters
President Trump To Tap Mulvaney Associate To Lead Consumer Bureau |NPR


Pa. lawmakers should reject this exploitative payday lending bill
June 15, Harrisburg Patriot News
It’s the rare day that goes by in Harrisburg when state lawmakers don’t praise the virtues of Pennsylvania’s active-duty servicemen and women and its veterans. Yet a nakedly exploitative bill now before the House Commerce Committee, if approved, would open a loophole in state law big enough to drive an Abrams tank through, trapping those same heroes in a crushing cycle of debt.
More Coverage:
Reject legislation to aid payday lenders | The Morning Call
Rep. Heffley accused of sneaking payday lending bill through committee | City & State


Mulvaney may cut off public access to CFPB complaints. Ex-AG says not so fast
June 14, American Banker
Acting Consumer Financial Protection Bureau Director Mick Mulvaney hasn’t said yet whether he will keep public consumer complaints about banks, credit unions and other financial firms, but a former Ohio attorney general is gearing up just in case.


Former Banker, Now Regulator Wants To Allow Banks To Make Payday-Style Loans
June 14, NPR
A powerful banking regulator appointed by President Trump could face tough questions in a Senate hearing Thursday about his efforts to allow big banks to make small, high-interest, short-term loans to consumers.


CFPB’s Acting Director Is Acting Up: Mulvaney Joins Payday Industry to Fight Regulation
June 13, The Pasadena Journal
Mick Mulvaney, the illegally appointed Acting Director of the Consumer Financial Protection Bureau (CFPB) is a glaring example of one who appears to consistently relegate the financial concerns of America’s people in favor of businesses that harm instead of help consumers. His support of the payday and small-dollar lending industry is a prime example.


Poliquin challenger must stand up for Maine people
June 12, Bangor Daily News
This week or soon after, we’ll know who Democratic voters in Maine’s Second Congressional District selected to take on US Rep. Bruce Poliquin. With the nomination fight in the rear view mirror, it will be time for a reality check. Whoever goes up against Poliquin faces the tough challenge of running against a very, very well funded incumbent with a savvy, experienced campaign manager who twice won by strong margins.


Missouri businessman sentenced to 10 years for payday lending scheme
June 12, Reuters
A Kansas City, Missouri businessman was sentenced to 10 years in prison on Tuesday after he was found guilty running a $220 million payday lending scheme that charged illegally high interest rates and signed up borrowers without their consent, federal prosecutors said.
More Coverage:
Faraway payday trials spare KC a harsh look in the mirror | Kansas City Business Journal
Kansas City payday lender sentenced | WIBW News


In Our View: We’re Inviting Another Crisis
June 12, The Columbian
With the nation barely out from under the shadow of the Great Recession, the Trump administration and a complicit Congress continue to ignore the lessons of the past decade. Safeguards put in place to protect against another economic meltdown are being rolled back, while protections for consumers are being ignored.


June 11, Texas Standard
Last Wednesday, Mick Mulvaney, acting director of the Consumer Financial Protection Bureau, disbanded a group of experts that helps oversee the agency’s policies.


Mick Mulvaney changed the CFPB’s sign to BCFP
June 11, Vox
One of the changes Mulvaney, who was named acting director of the agency in November after Richard Cordray resigned, hoped to make was to switch up the syntax of the bureau’s name to read as it officially does in Dodd-Frank. Mulvaney, a former Tea Party member of Congress, wants to emphasize the bureaucratic part of it.