The U.S. House of Representatives this week is considering amendments to the National Defense Authorization Act (NDAA). Among the amendments is one offered by Rep. Jesus “Chuy” Garcia (D-IL) and Rep. Glenn Grothman (R-WI) that would impose the Military Lending Act’s rate cap of 36 percent on all Americans. Last year, Garcia and Grothman introduced this legislation; now they are trying to incorporate it into the NDAA, a bill that Congress must pass every year.
Arbitrary rate caps reduce consumer access to credit because many state-licensed and regulated finance companies, including vehicle finance companies, credit card issuers, and traditional installment lenders, will not be able to offer safe and structured loan options to hard-working Americans in the smaller amounts they need. Consumers may be forced to seek loans in larger amounts than they require, with the prospect of a higher default risk. As well, restricting access to credit for consumers, particularly low-income families and the unbanked, leads the most vulnerable groups to unregulated and illegal loan alternatives.
“Access to credit is a crucial resource that helps drive the U.S. economy,” said Ann Harter, Vice President of Congressional Affairs with AFSA. “Reducing credit options in a regulated marketplace when it is most needed in a time of economic uncertainty will prevent responsible consumers from building or repairing their credit history and future borrowing ability.”
The U.S. House of Representatives this week is considering amendments to the National Defense Authorization Act (NDAA). Among the amendments is one offered by Rep. Jesus “Chuy” Garcia (D-IL) and Rep. Glenn Grothman (R-WI) that would impose… Read the rest
Join us on July 16th at 2:00 p.m. for The Aftermath of the COVID-19 Crises: Establishing Resilience with Your Risk Assessment Decisions, presented by FICO.
The current global crises have made a significant impact on auto finance industry… Read the rest
This week, AFSA wrote a letter to Congress in support of the E-SIGN Modernization Act (S. 4159). This piece of legislation would streamline how consumers consent to receiving electronic documents like billing statements, account information,… Read the rest
AFSA, along with more than 125 other trade associations representing a broad swath of the American economy, today submitted a letter supporting S. 4117, The Paycheck Protection Program (PPP) Small Business Forgiveness Act. The bill “would… Read the rest
Last week, the American Financial Services Association (AFSA) joined other financial services trade associations in a letter to the Federal Communications Commission (FCC) regarding the agency’s draft order on call blocking. … Read the rest
Join us on July 16th at 2:00 p.m. for The Aftermath of the COVID-19 Crises: Establishing Resilience with Your Risk Assessment Decisions, presented by FICO.
The current global crises have made a significant impact on auto finance industry … Read the rest
Today, the U.S. Small Business Administration (SBA) released loan data for its Paycheck Protection Program (PPP), in which some American Financial Services Association members participated. You can review the overall data here and here… Read the rest
The American Financial Services Association is – in a single event – bringing together the best of the Annual Meeting and Independents Conference & Expo. Join the leaders of the consumer credit industry at AFSA’s… Read the rest
The American Financial Services Association yesterday submitted a letter to Senate Armed Services Committee Chairman Sen. James Inhofe (R-OK) supporting the 2021 National Defense Authorization Act (NDAA).
The letter highlighted AFSA… Read the rest
AFSA's July State Government Affairs white paper is now available. This month's white paper covers 2019 consumer complaint data from state Attorney General offices, the Federal Trade Commission and the Consumer Financial… Read the rest
