Sen. Elizabeth Warren (D-Mass.) called on Kathy Kraninger, the new director of the Consumer Financial Protection Bureau (CFPB), to “immediately” rescind a proposal to weaken the payday lending rule, becoming the latest prominent Democrat to weigh in on Kraninger's first major initiative, Politico reported. “The rule you released today makes a mockery of the CFPB's statutory mission of protecting consumers. It should be withdrawn immediately,” Warren said in a letter on Wednesday to Kraninger. The CFPB on Wednesday proposed scrapping the ability-to-repay underwriting requirement at the heart of the agency’s 2017 rule reining in payday lenders. A senior CFPB official on Wednesday echoed industry concerns that the rule would have had “significant market effects,” cutting payday loan volume by as much as 90 percent.
