Coverage of Survey at NAIHC Annual Convention May 2007:

160+ respondents

Represented among these respondents:

  • 67 tribes
  • 28 states
  • All 9 NAIHC regions (East, Great Lakes, Northern Plains, South Central, Rocky Mountains, Northwest, California-Nevada, Southwest, & Alaska)
For your tribe or community, predatory lending is:
A big problem 30.3%
Somewhat of a problem 42.6%
Not much of a problem 17.4%
Not a problem 9.7%
Ranked by "big problem":
Loans against tax refunds 35.5%
Payday loans 32.9%
Pawn shop transactions 30.3%
Mortgage loans 21.3%
Car title loans 20.7%
In your opinion, why are members of your community taking out these types of loans?
(Multiple answers allowed)
To get access to cash 77.3%
To pay bills 68.7%
To have cash at Christmastime 42.7%
To buy a car 34.0%
To pay credit card bills 25.3%
To buy a home 21.3%
To make home repairs 18.0%
To pay medical bills 14.7%
Most common answer as to why this is a problem:
They prey on vulnerable people 55.0%
The interest rates are too high 63.3%
They prey on vulnerable people 54.1%
The interest rates are too high 56.3%
The interest rates are too high 55.7%
Where do the majority of community members access predatory lending services?
In border towns 32.3%
In major cities 35.8%
Subcaption
Major city is within 10 miles of reservation: 10.6%
Major city is 10-30 miles from reservation: 35.2%
Major city is 30-100 miles from reservation: 42.2%
Major city is more than 100 miles away: 11.9%
On-reservation 11.0%
Subcaption
Rural reservation: 66.5%
Urban reservation: 32.5%
Not sure 12.8%
Doesn’t apply 7.5%
To your knowledge, what specific types of predatory practices are occurring in your community?
(Multiple answers allowed.)
Loans with exceptionally high interest rates 78.9%
Loans made to people who don’t understand the terms of the loan 77.6%
Loans made to people who cannot afford the loans 66.7%
Loans with excessive prepayment penalties 37.4%
Loans with large down payments 18.4%
Loans made to the mentally incapacitated 8.2%
With regard to home loans
Loans with high points and fees are offered 49.0%
Loans on manufactured or mobile home with high rates or abusive terms 40.1%
Mortgage brokers push customers to banks and mortgage companies with higher rates 32.7%
Home improvement scams 19.1%
Has your tribe passed a law or regulation concerning lending?
Yes 8.0%
No 92.0%
Financial education and services ranked by need:
Legal advice or services for loan or credit problems 68.4%
Investor education 68.1%
Entrepreneurship education 61.8%
Consumer credit education and credit counseling 57.6%
Classroom-based financial education in K-12 schools 56.7%
Individual Development Accounts (for home purchase) 53.8%
Community-based adult financial education 53.2%
Community-based youth financial education 52.8%
Financial education at the tribal college or university 43.4%
Homebuyer education & homeownership preparation 30.5%