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
Thanks to the Consumer Financial Protection Bureau (CFPB), conventional payday loans are on the decline. In response, lenders have begun to shift toward offering longer-term installment payday loans, which are safer but often also needlessly expensive. Read More
The Consumer Financial Protection Bureau (CFPB) is preparing the first federal regulations for payday and similar loans. This is propelling a shift in the market away from the conventional payday loan model, which has led to serious harm because the loans must be paid off after two weeks in a single payment that consumes about one-third of the typical borrower’s next paycheck. Instead,... Read More
In spring or summer of 2016, the Consumer Financial Protection Bureau (CFPB) will publish an official notice of proposed rule-making to establish federal regulations for payday and similar loans for the first time since these products emerged in the early 1990s. Read More