In further comments regarding the payday loan business, CFPB (Consumer Financial Protection Bureau) Head Richard Cordray said he needs to learn more about the industry. 
“We need to analyze this and think carefully about it, hear from people and then make judgments. In terms of the structure and core essence of the product itself, we felt we needed to know more about it.  I don’t look at these issues in terms of banning products.”

Cordray told the committee that he has begun a new “supervision regime” for payday lenders.  The CFPB’s purpose is to oversee financial products offered to consumers, including items as diverse as mortgages, credit cards and payday loans.

He said that so far the bureau is forming two advisory panels, one comprised of small bankers and another with credit unions.  He is open to forming a third that would include payday lenders and non-bank institutions.

When asked about the agency’ agenda, Cordray said he would publically provide guidance. In that vein, he said his agency is working on a simplified mortgage disclosure form, so that borrowers can compare offers from various lenders more effectively than they can now.