predatory lending

On July 27, Trident Mortgage Company was ordered to pay over $22 million for discriminatory lending patterns in majority-minority neighborhoods throughout the greater metropolitan Philadelphia region, including Camden, New Jersey and Wilmington, Delaware.

Buy now, pay later (BNPL) plans increasingly are being offered as a convenient credit alternative that enables purchases to be made in installments, typically four payments over six weeks. The so-called “fintech” (financial technology) companies offering these plans often advertise them as providing consumers interest-free payments with no impact to credit scores. 

With Massachusetts residents continuing to struggle in the wake of the COVID-19 pandemic, advocates and lawmakers have taken the opportunity to promote an out-of-the-box solution — putting banking power, primarily lending capabilities, in the hands of the state.

In recent years, consumer finance protections withered through a series of harsh attacks that either outright rejected or significantly diminished financial guardrails in the marketplace. But a new consumer victory, urged by a groundswell of support from everyday people, academicians, and bicameral legislators, signals an important step toward fair financial rules. 

As the nation and much of the world continue to suffer from the rippling effects of COVID-19, the ability of consumers to remain current on bills and expenses is steadily waning – if not already gone.