Category Archives: Predatory Lending

Times Coverage of Predatory Subprime Auto Lending

The New York Times has run several troubling pieces recently on predatory subprime car lending, most notably here.  Today's Times includes an editorial that states:  Dealers who can offload loans to banks before the loans fail take the same rapacious approach that mortgage lenders took in the run-up to the recession. They prey on less […]

Dee Pridgen on Notable New Mexico Signature Loan Case

My co-author, Dee Pridgen of Wyoming, took time out from updating her treatise to report on a recent New Mexico decision, State ex rel King v. B&B Investment Group, Inc., 2014 WL 2893304 (N.M. June 26, 2014). Here's her comment: In the case, the State AG successfully sued a “signature loan” company that was selling small […]

Stark et al. Article on Reverse Mortgages

Debra Pogrund Stark of John Marshall, Jessica M. Choplin a DePaul psychologist, Joseph A. Mikels, also a DePaul psychologist, and Amber Schonbrun McDonnell have written Complex Decision-Making and Cognitive Aging Call for Enhanced Protection of Seniors Contemplating Reverse Mortgages, 46 Arizona State Law Journal (2014).  Here is the abstract: This article explains what reverse mortgages […]

Goldsmith & Martin Study of Public Attitudes Towards Interest Rate Caps

Timothy E. Goldsmith of New Mexico's Psychology Department and Nathalie Martin at New Mexico's Law School have written Interest Rate Caps, State Legislation, and Public Opinion: Does the Law Reflect the Public's Desires? 89 Chicago-Kent Law Review (2014).  Here's the abstract: In scholarly circles, debates about the benefits and burdens of high-costs lending are prevalent, […]

A Comment on the Senate Banking Committee Hearing on Alternative Financial Products

by Jeff Sovern Last week, the Senate Banking Committee held a hearing on Alternative Financial Products. The American Banker account is here, albeit behind a paywall.   I found most interesting the payday lending discussion, and in particular the arguments made against regulation.  At one point, a Senator (I think Toomey, Republican of Pennsylvania), questioned a witness, Stephanie […]

Kirsch, Mayer, & Silber: What to Do About Payday Lending

Larry Kirsch, Roert N. Mayer and Norman I. Silber of Hofstra have authored, The CFPB and Payday Lending: New Agency/Old Problem, 48 Journal of Consumer Affairs 1 (2014). Here's the abstract: The Dodd-Frank Act of 2010 brings nonbank payday lenders under federal regulation for the first time. The question of precisely how to regulate the payday […]

CRL Chapter on Car-Title Lending

Susanna  Montezemolo of the Center for Responsible Lending haas written Car-Title Lending.  Here is the abstract: Provides an overview of car-title lending and its impact on U.S. households. Car-title lending — making expensive loans secured by the title of a vehicle a borrower owns outright — has become a multi-billion dollar industry in the U.S. […]

Clarke & Zywicki Paper on Payday Lending and Bank Overdraft Protection

Robert L. Clarke of Bracewell & Giuliani LLP and Todd J. Zywicki of George Mason University (Zywicki notes in an "about the authors" that he is a former director of the FTC's Office of Policy Planning but omits his links to the industry) have written Payday Lending, Bank Overdraft Protection, and Fair Competition at the Consumer […]