May 15, 2012
On May 2, 2012 a group of Native community development financial institutions (CDFIs) and nonprofits met with staff at the Consumer Financial Protection Bureau to advocate for responsible and fair lending products in Native American communities. The Native organizations provided examples to demonstrate the negative impact of payday loans in their communities and also shared successful strategies in combating predatory lending, such as financial education, credit coaching, and credit builder loans. The credit building loan product is designed to help Native borrowers that are trapped in the debt cycle of payday lending replace their debt with low cost affordable term loans that result in building positive credit histories, and is paired with financial education to protect consumers from future fringe financing products. Read the full story.