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Post-presidential debate poll shows a shift in WI; Teamsters won't endorse in presidential race after releasing internal polling showing most members support Trump; IL energy jobs growth is strong but lacks female workers; Pregnant, Black Coloradans twice as likely to die than the overall population.

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The Teamsters choose not to endorse a presidential candidate, county officials in Texas fight back against state moves to limit voter registration efforts, and the FBI investigate suspicious packages sent to elections offices in at least 17 states.

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A USDA report shows a widening gap in rural versus urban health, a North Carolina county remains divided over a LGBTQ library display, and Minnesota Gov. Tim Walz' policies are spotlighted after his elevation to the Democratic presidential ticket.

Rules Proposed to Curb Payday, Title Loan Abuses

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Tuesday, September 6, 2016   

HOUSTON - Opponents of payday and car-title lending say they lead to financial abuse of consumers, and a report supports new federal rules to combat the problem.

In the report by the U.S. Public Interest Research Group, researchers analyzed close to 10,000 recent complaints made to the Consumer Financial Protection Bureau. They found that 91 percent involved aggressive debt-collection practices, bank-account closures, and/or long-term cycles of debt.

Mike Litt, the consumer program advocate with the U.S. PIRG said payday lending is structured to set consumers up to fail.

"The borrower is using their uncashed check as collateral, and they have a short amount of time to pay that off," he said. "And there are a lot of people out there that can't afford that interest, and so that sets them up to re-borrow and take out loan after loan after loan."

The report also found that around 15 companies accounted for more than half the complaints, many charging triple-digit interest rates. The report said some of the biggest offenders are doing business under the names CashNetUSA, NetCredit, Check 'n Go, and ACE Cash Express.

CashNetUSA and NetCredit are both online lenders. Check 'n Go has a few Texas locations; ACE Cash Express has more than 100 across the state.

Consumer advocates say the federal government should adopt a rule that requires lenders to determine, in advance, a borrower's ability to pay the loan and afford such necessities as food and housing. Litt said the average annual income of a payday loan customer is about $27,000.

"We're talking about people who are already working to make ends meet and then, they get stuck in a debt trap," he added.

The public comment period on the new rule ends on October 7th.

The online complaint form can be found here.


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