The Military Lending Act (MLA) is aimed at protecting service members from predatory loans and unfair financial products and services. (For instance, the MLA prohibits the use of arbitration agreements in most consumer credit contracts entered into by service members and their dependents.)
But it appears that the Trump Administration wants to undermine the MLA.
At the behest of the National Automobile Dealers Association, the Trump Administration has been planning to propose that car dealers be allowed to tack on "gap insurance" when they sell cars to service members. But when sold by car dealers, that type of insurance is typically a rip off imposed on unsuspecting customers. And so, current MLA regulations prohibit the practice.
NPR reporter Chris Arnold explains:
So, the Trump Administration, it appears, wants to give service members the option of paying $1,500 for something that the market values at about $30 when customers are well-informed.
Listen to (or read) Arnold's story here. You'll learn about other ways in which the Trump Administration may weaken the MLA.