“In the meantime, I look forward to working with fellow state and federal regulators to enforce the law against bad actors and encourage robust market competition to improve access, quality, and cost of credit for consumers,” she added.
Becerra says CFPB’s proposal is “senseless”
Becerra immediately released his comment regarding the bureau’s proposal. According to him, “It is senseless for the CFPB to scrap a rule that prevents harms associated with predatory lending.
Additionally, the California Attorney General emphasized, “This rule was intended to protect Americans from abusive and unfair practices by greedy payday and auto title lenders. These lenders take advantage of the most vulnerable – hardworking families, seniors, and people with disabilities. The CFPB should do everything in its power to keep people from getting caught in a rigged debt cycle, not pander to threats from the very lenders it is meant to regulate.”
On the other hand, U.S. Rep. Maxine Waters (D-California), the chairperson of the House Financial Services Committee, is “deeply troubled” by the CFPB’s proposal. She said it is sending a “message to predatory payday lenders that they may continue to harm vulnerable communities without penalty. She is encouraging Kraninger to withdraw the proposal.
