Loan Lenders On Alert of the Newly Formed CFPB
Lenders of title loans are closely monitoring the recently established CFPB (Consumer Financial Protection Bureau) with its appointed director Richard Cordray’s .
This recently established Federal agency has the ability to monitor, oversee, and regulate all forms of lending practices on a federal level beginning including all short-term small dollar-lending practices such as payday loans.
This federal agency has the power to monitor and track all short-term small dollar lending practices from initial advertisements all the way through to its collection and marketing practices.
Many Title loan lenders are seeing this recently formed Federal agency as an emerging threat to their livelihood.
The CFPB director Richard Cordray was not appointed by a congressional vote by President Obama arguing that Congress was not in session. This has many in the private sector calling foul.
The main concern among small dollar lenders such as pay day lenders, and title loan lenders is the regulations that Richard Cordray placed on these private short-term small dollar lenders within his own state. Essentially in his own state, he put in place a maximum APR on the small loans at such a low level that it essentially wiped out the ability for the lenders to do business at a profit which essentially shut them down.
With Richard Cordray being appointed to oversee the newly formed CFPB on a federal level, many of the short-term small dollar lenders are concerned that a federal mandate could be in place that essentially wipes out all of these type loan products for every state.
Global Finance Title Loans
2620 Cobb Parkway
Smyrna, GA 30080
Atlanta Title Loans