Center for Responsible Lending Expresses Support for Capping Interest Rates on Consumer Loans at 36%

The Center for Responsible Lending (CRL) expressed support for a bipartisan bill that would limit the interest rate on consumer loans to no more than 36% Annual Percentage Rate (APR), if passed.

Active duty service members, who are often targeted by payday lenders, currently have protections from predatory interest rates. The goal of the Veterans and Consumers Fair Credit Act, introduced by U.S. Congressmen Jesús “Chuy” García., D-Ill. and Glenn Grothman, R-Wis., is to extend those protections to all consumers, including veterans.

 “Payday and other high-interest lenders trap people in debt. These lenders target financially vulnerable, low-income people, and communities of color – and they make their financial problems even worse. The Veterans and Consumers Fair Credit Act would stop this economic exploitation,” said Graciela Aponte-Diaz, acting federal advocacy director for CRL.