The Debt Trap: The Government Crackdown on Payday Loans

The Consumer Financial Protection Bureau recently announced new rules to crackdown on the multi-billion dollar pay day loan industry, which relies on borrowers who cannot pay their loans off in order to generate fees and profits. In turn, this leaves vulnerable borrowers in a vicious cycle known as the “debt trap.” We discussed the CFPB new regulations and if they go far enough to protect Americans desperate for cash, featuring Ben D. Walsh, a Business Reporter at The Huffington Post who Covers Money and Finance