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The reaction was swift and angry Wednesday, as consumer groups and congressional Democrats accused the CFPB of abandoning consumers in its plan to overhaul agency rules governing payday lending.

“This proposal essentially sends a message to predatory payday lenders that they may continue to harm vulnerable communities without penalty,” House Financial Services Chairwoman Maxine Waters (D-Calif.) said. “I urge [CFPB Director Kathy Kraninger] to rescind this proposal and work on implementing a comprehensive federal framework — including strong consumer safeguards, supervision, and robust enforcement — to protect consumers from the cycle of debt.”

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Credit Union Times

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