Consumer Protections

The problem of predatory lending goes much deeper than the declining housing market—particularly in low-income communities. With few banks open for business and many offering products that don’t meet the needs of low-wage workers, families often turn to unregulated tax preparers and predatory lenders who eagerly serve them.

The result is not a competitive financial marketplace, but a flurry of high-cost, low-value products and services sold under complex, confusing and often misleading terms. With limited guidance, working families find themselves in financial quicksand, losing any progress they may have made towards financial security.

Together, we can protect families’ financial futures by:

• Restricting Refund Anticipation Loan (RAL) marketing and lending at tax time.
• Regulating paid tax preparers through a tax preparer licensing system.
• Supporting the work of the Consumer Financial Protection Bureau.
  
• Extending the Military Lending Act to cap APRs at 36% for all consumers and to cover more credit products.