Civil Rights Groups Defending Predatory Lenders: Priceless. So what does Martin Luther King Jr. want to do with payday lenders?

Civil Rights Groups Defending Predatory Lenders: Priceless. So what does Martin Luther King Jr. want to do with payday lenders?

Nada, but which includesn’t stopped African leaders that are american invoking their title as they shill for the credit industry.

Stephanie Mencimer

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The president of the Southern Christian Leadership Conference (SCLC), took to the op-ed page of the Washington Post to decry the devastating effect the meltdown was having on minority homeowners at the end of June, as the subprime mortgage crisis was driving the economy into a tailspin, Charles Steele Jr. But instead than help presently pending measures to better control the credit markets, the top of just one for the nation’s earliest civil liberties teams alternatively attacked them. Steele was specially upset of a Federal Reserve proposition that will break straight straight down on subprime bank cards—high-interest cards advertised to people who have bad credit.

The federal government has taken a slightly different view of CompuCredit’s contributions to economic empowerment while the civil rights group has been lauding its corporate partner. Last thirty days, the Federal Trade Commission sued the organization for unjust and trade that is deceptive, in addition to breaking the Fair business collection agencies methods Act. The FTC alleged that CompuCredit bilked consumers away from at the very least $217 million by way of a scheme by which customers paid a great deal in costs they hardly ever had any credit available in the ongoing company’s Visa cards. The CompuCredit cards are better referred to as “fee payday loans california harvesting” cards—that is, bank cards offered to people in serious monetary straits which have high rates of interest, low credit balances, and a whole load of costs for folks who generally can’t pay for them. More