A former Florida lawmaker who was instrumental in helping the Sunshine State pass one of toughest laws protecting consumers from predatory lending is warning that the federal proposal is too heavy-handed, strips states of their rights and deprives consumers of emergency lending options as the Consumer Financial Protection Bureau embarks on a rule-making process that payday lenders estimate will put 70 percent of their industry out of business.
вЂњPeople need usage of small-dollar loans we found it was important to allow them to have that access,вЂќ Kendrick Meek, a former Democratic congressman from Miami, told The Washington Times if they donвЂ™t have credit, let alone good credit, and. вЂњOur payday financing legislation in Florida is effective as it keeps use of small-dollar loans as well as protects the citizens of Florida.
вЂњA federal guideline preempting the Florida legislation will be a big error. When you see a legislation this is certainly being effective, and preventing customers from getting on their own into monetary difficulty, when you’ve got something which has been shown and it is working, it will be online payday WY a huge error to ignore that,вЂќ he said.
Yet the CFPB appears intent on doing this.
In April, the complete Florida delegation inside the U.S. House of Representatives published a page urging CFPB Director Richard Cordray to make use of FloridaвЂ™s lending that is payday as a model for national legislation. Read more