Tribpedia: Predatory Lenders

Tribpedia

Predatory or "payday" lenders describe companies that offer short-term, high-interest loans in Texas, often to low-income citizens. There are no limits on the fees the companies can charge, and no restrictions on how the companies attempt to collect their debts. Lenders make millions off the charges that pile up as consumers, unable to keep up with the growing costs, repeatedly ...

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Thousands Lose Cars Amid Calls for Loan Restrictions

Tiffany Richardson took out a short-term loan against a Nissan Altima and another against a Toyota 4Runner. Both vehicles were repossessed.
Tiffany Richardson took out a short-term loan against a Nissan Altima and another against a Toyota 4Runner. Both vehicles were repossessed.

State leaders in business-friendly Texas have been reluctant to put new limits on any industry, and a lack of regulation is being acutely felt by the low-income borrowers to whom the payday and auto-title lending industry most often caters. 

Rep. Mike Villarreal (D-San Antonio) talks about changing Texas demographics at the LBJ School on February 28, 2011
Rep. Mike Villarreal (D-San Antonio) talks about changing Texas demographics at the LBJ School on February 28, 2011

Villarreal Urges Action on Payday Lending

Payday lenders could see the expansion of local lending regulations across the state, lawmakers warned at a press conference on Wednesday, if a bill that would that would create statewide regulations fails.