Key Takeaway

Department of Defense (DoD) should ensure lenders cannot structure products to evade Military Lending Act (MLA) protections.

The 15-member CFE Coalition has weighed in on key federal policy issues since its founding in 2008.

In this 2013 letter, the CFE Coalition urges the Department of Defense (DoD) to revise its regulations implementing the Military Lending Act (MLA) to ensure that service members and their families are protected from the full range of abusive lending practices that trap them in cycles of debt.

The Coalition urges the DoD to expand MLA regulations beyond the narrowly defined scope of the types of “consumer credit” subject to protections. Specifically, the Coalition recommends amending the limits to MLA applicability based on loan term, maximum loan amount and loan structure for payday lenders and vehicle title lenders; subjecting direct deposit advance loans to full MLA protections; and ensuring that MLA protections are uniformly applied to the full range of deleterious products targeted at members of the military.

Additional Takeaways

DoD should expand MLA regulations beyond narrowly defined scope.

DoD should ensure MLA protections are uniformly applied to the full range of financial products targeted at military members

Related Items