House Approves CRA Resolution to Roll Back Trump Predatory Loan Rule
WASHINGTON, D.C. – The U.S. House of Representatives today approved a Congressional Review Act resolution to nullify a Trump rule that allows predatory lenders to escape state usury laws. The same CRA resolution passed in the U.S. Senate with bipartisan support in May, and it now heads to the president’s desk. The rule, which came from the U.S. Office of the Comptroller of the Currency in the waning days of the Trump administration, allowed payday lenders to circumvent state interest rate caps by allying with a national lender. Bartlett Naylor, financial policy advocate for Public Citizen, released the following statement:
“Public Citizen applauds the House for joining the Senate in rejecting this craven rule from the Trump administration. Enabling payday lenders, who lock struggling Americans into unconscionably high interest rate loans, should never have been federal policy. During a pandemic, with so many confronting economic and health hardships, this rule insulted common sense, and it’s an important victory for consumers that it was overturned.”