CFPB Gets a Reprieve: Court Blocks Defunding Attempt (For Now)

Quick Answer: A DC federal judge blocked the White House’s attempt to defund the Consumer Financial Protection Bureau, calling it “an unsupported and transparent attempt to starve the CFPB of funding.” The agency will continue operating and employees will get paid—for now. But this is a temporary reprieve, not a final resolution.The CFPB light switch …

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Big Bank Payday Loans: Are They Legit?

Quick Answer: Congress recently overturned a CFPB rule that would have capped big bank overdraft fees at $5, keeping current $35 charges in place. The Senate voted 52-48 to repeal the regulation, allowing banks with over $10 billion in assets to continue charging fees up to three times daily.Imagine being charged $35 because you bought …

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2005 Bankruptcy Reform Helped Students: Myth vs Reality

Quick Answer: The 2005 Bankruptcy Reform did not help students with private loans, contrary to its intended purpose. Harvard research shows students lost the ability to discharge loans in bankruptcy but received no compensating price reductions, while lenders benefited from increased loan volumes.It’s official, bankruptcy reform in 2005 totally sucked for people with private student …

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