Browsing: small-dollar credit


In a sixth white paper to the Treasury Department today, ABA highlighted the important role that small-dollar credit plays in helping consumers meet their financial needs, and called on regulators to remove barriers that impede banks from making small-dollar loans.


The Consumer Financial Protection Bureau should preserve and expand the role banks play in providing small-dollar credit to customers — not restrict banks from making these loans, ABA said in a comment letter on Friday in response to the bureau’s proposal to curtail short-term, small-dollar consumer loans.


In supervising banks that made tax refund anticipation loans, the FDIC made “aggressive and unprecedented” use of its supervisory powers and imposed “high costs” on institutions offering the legal products, according to a review issued today by the FDIC’s inspector general.