Pew's small-dollar loans project focuses on conducting research that demonstrates the needs, perceptions, and motivations of consumers, as well as the impacts of market practices and potential regulations. Based on this research, the project puts forth policy recommendations designed to protect consumers from harmful practices and promote safe and transparent small-dollar credit.
Research & AnalysisView All
Federal regulators have an opportunity to set rules for small-dollar lending for the first time, potentially saving American borrowers billions of dollars. The Consumer Financial Protection Bureau (CFPB) proposed a new rule for this market in June. Read More
The Consumer Financial Protection Bureau (CFPB) has issued a proposed framework to regulate payday and similar high-cost, small-dollar loans. Overall, the proposal could transform the market in positive ways by requiring most products to become installment loans with smaller, more manageable payments and providing safeguards for consumers. Read More
The Consumer Financial Protection Bureau (CFPB) has proposed the first federal rules on payday loans, which 12 million consumers use every year. However, the proposal falls short because it would allow payday loans with 400 percent interest rates to flourish while locking out lower-cost loans from banks. Read More