Will Rose Vote to Protect Consumers from Abusive Bank Practices

 Congressman John Rose, who represents Sumner County in the U.S. House of Representatives, may soon have an opportunity to vote for legislation that would protect consumers from abusive bank overdraft fees. 

A story in NewsBreak explains:

With Capital One announcing an end to overdraft fees and consumer groups putting pressure on other banks and the Consumer Financial Protection Bureau (CFPB) to take action to end the practice, pressure is mounting for major changes in a key source of bank revenue.

Now, Rep. Carolyn Maloney of New York has introduced the Overdraft Protection Act to protect consumers from the most abusive of overdraft fee practices.

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Congress May Cap Payday Loans at 36% Interest

 6th District Congressman John Rose, who represents Sumner County in the U.S. House of Representatives may soon have the opportunity to vote in favor of a bill that would cap the interest rate on payday and car title loans at 36%. 

Current law in Tennessee allows payday loan rates to be as high as 460%. 

Consumer protection legislation that would cap rates on payday and car title loans at 36% has been introduced in the House of Representatives. The bipartisan bill is a companion to similar legislation filed in the Senate in August. Current rates on payday loans can be in excess of 400% in some states.

The bipartisan House bill was introduced by Rep. Jesús “Chuy” Garcia (D-IL) and Rep. Glenn Grothman (R-WI) and is a companion to the Senate bill (S. 2508) that was introduced in August by Sens. Jack Reed (D-RI), Jeff Merkley (D-OR), Banking Committee Chairman Sherrod Brown (D-OH) and Sen. Chris Van Hollen (D-MD).

“For too long, payday and car-title lenders have been allowed to exploit the most economically vulnerable members of our communities,” said Candace Archer, payday and consumer campaigns manager for Americans for Financial Reform. “Congress is right to take the initiative to address this problem, especially as many families are struggling to recover from the economic devastation caused by the pandemic. This bill will establish nationwide safeguards to protect consumers from dangerous debt traps.”

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For more on news impacting Hendersonville and Sumner County, follow @HvilleNews