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Federal regulator clamps down on payday financing industry

NY -- Payday and car name loan providers will need to abide by stricter rules which could considerably curtail their company under guidelines finalized Thursday with a federal regulator. Nevertheless the first regulation that is nationwide of industry continues to be prone to face opposition from Congress.

The buyer Financial Protection Bureau's guidelines mainly mirror just what the agency proposed year that is last a business where in fact the annual interest on an online payday loan could be 300 per cent or maybe more.