Residents of the state of Montana recently voted in favor of limiting the annual interest rates that were chargeable on small consumer loans to 36%, overwhelmingly rejecting payday loans which charged three-digit interest rates. In doing so, Montana became the third US state to reject these payday loans which charged borrowers extremely high interest rates, [...]

National Consumer Law Center (NCLC) members and leaders have reacted positively to the recent disclosure made by MetaBank, to the effect that it had discontinued its 650% payday loans on prepaid cards following a recent ruling made by their regulator, the Office of Thrift Supervision (OTS). OTS found that Metabank had engaged in unfair and [...]

A report recently released by the National People’s Action (NPA) and the Public Accountability Initiative regarding the payday lending industry has resulted in several protests being organized at local bank branches and has also elicited responses from various payday lending organizations. The controversial report, titled “The Predator’s Creditors,” paints the payday lending industry in an [...]

Colorado has become the latest state to pass a law capping the APR at which payday lenders are allowed to lend money to customers. Although some states have banned payday lending outright, other states such as Colorado have opted to regulate the industry further, by limiting the APR at which payday lenders are allowed to [...]