Testimony

New York City Comptroller William C. Thompson, Jr. said today he was in favor of passage of the City Council's Predatory Lending Bill (Intro. 67A). The Comptroller, testifying in support of the measure before the Council's Consumer Affairs Committee, said, "predatory loans exploit vulnerable borrowers, most of whom research indicates, are elderly, the working poor, women and minorities."

Among the Comptroller's prepared remarks:

"Predatory loans charge more in interest and fees than is required to cover the added risk of lending to borrowers with credit imperfections. They pack fees and products onto loans that trap borrowers and lead to increased indebtedness. Predatory sub-prime lenders intentionally exploit the weaknesses in existing laws and regulations to their benefit."

"It is time, once and for all, to put an end to the abusive practice of predatory lending. It has been around too long, affecting too many people."

"Now is the time to act. It is time for the city to legislate changes that go after unscrupulous predatory lending practices, without limiting access to needed credit."

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