Stop the Debt Trap
Del Debt Collection Practices
For immediate release Contact: Rashmi Rangan 302-824-5219
National Payday Rule Could Save Delawareans Millions
But The Rule Still Needs Work, Strengthening
WILMINGTON, DE--The Consumer Financial Protection Bureau (CFPB) unveiled a long-awaited proposal for a new national rule on payday and car title lending that has the potential to save Delawareans millions if changes are made before the rule is finalized. “Over the next few months we want to impress upon the CFPB the importance of closing loopholes in what is otherwise a well-thought out proposal. In doing so, they can shut the debt trap once and for all,” said Rashmi Rangan, Executive Director, Delaware Community Reinvestment Action Council, Inc., (DCRAC).
Payday and car title loans with interest rates that average more than 300 percent drain $30,323,284 in fees annually from the pockets of people from Delaware who can least afford it, according to a report by the Center for Responsible Lending. The proposed rule gets the fundamentals right by establishing an ability‐to‐repay principle at the core of the rule. In the final analysis, getting this rule right will mean that borrowers can continue to live their economic lives with dignity.
The CFPB will be seeking comments from the public until September 14, 2016, after which they will review before making the rule final in 2017. We encourage consumers to comment and suggest changes at www.stoppaydaypredators.org
This 4th of July, 2015, DCRAC is interested in Financial Freedom for ALL Delawareans.
Please share your debt collection stories with Rashmi Rangan.
What we know is that debt collectors file a complaint against:
On behalf of a wrong creditor
Not collectable debt
Where there is no debt owed
What we also know is that Delaware courts and Delaware Legislature have some interest in addressing some of the issues that are cause for concern as it tarnishes Delaware's reputation. If your organization is interested, please email Rashmi Rangan.
302-824-5219 (between 8 am and 7 pm)
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