Consumer, Civil Rights, Community Groups Oppose HR 4439 and Sham Rent-a-Bank Payday Lending

Share via

In a letter to the House Financial Service Committee, 120 consumer, civil rights, labor, community and legal services organizations including WV CAG voiced their opposition to HR 4439 (Hollingsworth), the so-called Modernizing Credit Opportunities Act. The bill would allow payday lenders to use the fine print of loan terms and sham rent-a-bank arrangements to make loans at 100% to 400% APR or higher in states where those rates are illegal. The bill would undercut the historic power of the states to protect people from dangerous, usurious loans.

HR 4439 Sham Lender final consumer oppo letter