USA TODAY: President Obama will give a staunch defense of the federal government’s consumer protection watchdog in a speech Thursday, defending it against Republican budget cuts the same day the agency is set to propose tough new payday lending rules.
Obama’s speech will come three hours after the bureau convenes a hearing on payday loans in Richmond, Va. At the hearing, CFPB Director Richard Cordray will outline a proposal to crack down on payday lending practices that he says often result in “debt traps.”…
Rep. Terri Sewell, D-Ala., said she expects Obama to argue for more consumer protections and transparency while in her district. “I recognize the need for emergency credit, but we must also ensure that these products help consumers, rather than trap them to a perpetual cycle of debt,” she said… (more)
