Maybe I’m not that smart
June 9, 2010 | Wisconsin, industry | Comments (0)Because I can’t make heads or tails of this letter to the editor out of Wisconsin:
Someone on The Post-Crescent editorial staff must have seen “Fiddler on the Roof” before writing the editorial on May 21. The resulting “patty-cake, patty-cake” editorial on Gov. Doyle’s veto of the payday loan bill passed by the state Legislature is a poor substitute for analysis (“One the one hand, he was right; on the other hand, he was wrong.”)
If I were a rich man…..
Another Canadian province in play
June 9, 2010 | industry, international | Comments (0)A just love the name Saskatchewan. From the story:
Saskatchewan has drawn up regulations for the payday loan industry and hopes to have them in effect before the end of the year.
The regulations will require payday loan operations to be licensed at a cost of $2,000 per location while payday loan agreements will be required to be in writing and provided to customers.
Today
June 9, 2010 | federal legislation, industry | Comments (0)House appoints conferees to the financial reform bill.
Now they hate PDL alternatives
June 8, 2010 | federal legislation, industry, research | Comments (0)National Consumer Law Center is now attacking payday loan alternatives as having the same costs as payday lenders. We’ve been saying it for years, however, our position is to let the consumers choose. Their position is to ban everything.
I guess that’s settled
June 8, 2010 | alternatives, federal legislation, industry | Comments (0)The conference is set to begin on Thursday, but today’s Huffington Post reports this:
A provision despised by credit card companies will remain in the final Wall Street reform bill that emerges from conference committee negotiations, Sen. Chris Dodd (D-Conn.) told reporters Monday evening.
Dodd, who is leading conference negotiations for the Senate, said that changes will likely be made to the “swipe fee” amendment that was included in his chamber’s version. Sponsored by Sen. Dick Durbin of Illinois, the number two Democrat, the amendment would reduce the fees that credit card companies can charge to retail stores for using the cards. The current fee far exceeds the cost of the transaction, which stores pass on to consumers. The fee is a lucrative source of revenue for credit card companies and hated by merchants.
Prudent consumers
June 8, 2010 | federal legislation, industry | Comments (0)The Wall Street Journal covers a speech by Fed Board member Elizabeth Duke:
“I have every confidence that competition will ultimately restore innovation, but with products that are safer, simpler, and more transparent to consumers,” Fed Board Governor Elizabeth Duke said, outlining five principles that she believes can guide industry and policymakers toward “balancing access to credit and sound risk management.”
Those five principles: enhanced consumer protection, prudent underwriting, transparency, easy to understand credit disclosures and retail mortgage contracts, and rules that stifle competing interests that negatively impact consumers. If employed effectively, these principles could protract the “robust system” that Duke said is necessary for economic growth.
Can’t argue with the principles. But what if the practice of “consumer protection” leads to limite choice?
Latest
June 8, 2010 | federal legislation, industry | Comments (0)From Congressional Quarterly (no link because it’s a subscription service):
“The big question is, ‘Where are the divisions going to be among Democrats?’ ” said Bert Ely, an independent financial analyst. “The Democratic Caucus has a wide range of ideology.”
The Senate last month appointed seven Democrats and five Republicans to the conference committee. House leaders are expected on Wednesday to nominate eight Democrats and five Republicans.
The current plan is for the conference to meet formally June 10 to install House Financial Services Chairman Barney Frank, D-Mass., as the panel’s chairman and hear opening statements. That will provide the first firm clues in weeks to whether Democrats will be able to gel.
Are we forgotten?
June 8, 2010 | federal legislation, industry | Comments (0)Politico headline this morning: “Banks queasy as reform deal nears.” Substitute “payday lenders” in the headline for “banks” and see if that works for you.
Gearing up against the car dealers
June 7, 2010 | alternatives, federal legislation, industry | Comments (1)Seems to be a big fight brewing. From the story:
The bill passed by the House exempts auto dealers from the agency’s oversight, courtesy of an amendment sponsored by Rep. John Campbell (R-CA). The Senate bill does not include a similar exemption, but the upper chamber did pass a “motion to instruct,” sponsored by Sen. Sam Brownback (R-KS), directing the conference committee that will reconcile the two bills to defer to the House’s version.
Clearly, auto dealers have significant clout on Capitol Hill. There are 18,000 of them scattered across the country, and their lobbying arm, the National Automobile Dealers Association, threw its weight around in favor of the exemption. Since 2007, trade groups for auto dealers spent $12 million lobbying. Auto dealers, their employees, and political action committees donated $9.3 million to candidates during the 2008 election cycle.
Notice how they dredge up the campaign contributions and lobbying efforts?
We’re with this guy
June 7, 2010 | federal legislation, industry | Comments (0)From the story:
Former Federal Reserve economist Robert Bliss cautioned lawmakers on Friday against moving too fast to complete work on the Wall Street reform bill, saying a rush could produce unintended consequences down the road.
“Some of the changes are positive, but others could create bigger problems than the one they are trying to solve,” he said about the bill in prepared remarks.
Like how to make $300 loans to working Americans.
