Pro Bono News
Nevada AG Calls on Feds to Protect Consumers From Abusive Lenders (NV)
Thursday, March 21, 2019
- Public News Service
Nevada AG Calls on Feds to Protect Consumers From Abusive Lenders
"CARSON CITY, Nev. – Nevada Attorney General Aaron Ford is calling on the Trump administration to allow Obama-era rules on payday lending to take effect.
Ford and 25 other state attorneys general sent a letter asking the Consumer Financial Protection Bureau (CFPB) to stop delaying a rule that would force payday and title lenders to actually consider whether borrowers have the ability to pay back the loan.
Sophia Romero, a staff attorney at Legal Aid Center of Southern Nevada, applauds the efforts, saying low-income Nevadans are getting stuck in an unending cycle of debt with these ultra-high interest revolving loans.
"We see consumers who have been abused by payday lenders who are failing to follow current statutes on a regular basis,” Romero states. “And we are happy that the AG's office is getting involved as well as the state Legislature."
On Wednesday, the Legislature held a hearing on SB 201 – a bill that would direct the state to set up a database to help enforce existing laws.
Lenders argue that a database could lead to job losses in their industry and be vulnerable to hackers..."