18-EA-21: NCUA - Payday Alternative Loans

On May 24, 2018, the NCUA Board unanimously approved issuance of a proposed rule on PALs, creating a second option for federally chartered credit unions (FCUs). The Board's goal is to expand access to safe and affordable short-term, small-dollar lending, and provide an alternative to the kinds of predatory lending that can entrap borrowers. The proposed alternative PALs product will provide FCUs with additional flexibility to meet consumer demands.

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