national consumer law center

Sen. Durbin introduces bill to cap interest rates at 36 percent

Written by Dan Fair on April 16, 2013 - 8:35pm
These short-term, small-dollar loans can have triple-digit annual percentage rates (APR) and are known to disproportionately affect low-wealth consumers and communities of color, often trapping them in a vicious cycle of debt. A recent Center for Responsible Lending report showed the average bank payday loan customer took out 19 loans in 2011.

The Protecting Consumers from Unreasonable Credit Rates Act would limit abusive lending practices and create a fairer playing field for all consumers.

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