out was a title loan, and i did lose my car. in fact, it was a friend of mine that ran the title loan, and i said how does it work? i tell you what i can give you on your car, you make monthly payments, and in three months, i own your car. and that's pretty much exactly what happened. of course, it broke our friendship, i didn't have a car, and maybe three years later, 2006, i was out of work for about three weeks. i went and got a $500 payday loan to pay my rent. i hear people talking about i think it was you that said they get you to come in for an five times and renew your loan. i got that the only way i got out of it was

, in 2012, i went in there and said, i am not paying my loan. they said, we will run the check through the bank. he said, you will not be able to anywhere at loan all. i said, good. that is what needs to happen. let's give the guest a chance to respond to your experience. is an unfortunately, that all-too-familiar experience. there are 14 states that have eitheryday loans by explicitly prohibiting them or rates lowterest enough to where they don't think they can operate there. unfortunately, that leads 30 lead 36 states,

including ohio, where the caller payday loans.have i mentioned colorado before. now those loans are six-month small monthly payments. where, if people pay as they are supposed to, they get out of the debt after several months and then they can walk away if they want to. ohio is one of the worst payday loan states. they tried to reform the market in 2008 with a new interest rate found athey quickly loophole. 591% after the reform law. intois one auto loans came ohio.

i have not sensed a strong support in ohio for banning loans. host: recently in a piece in the boston globe, a piece pointed out problems with payday loans, but also problems with eliminating them altogether. that is what the obama mr. should is seeking to do. he writes, then what? reinstate operations that provide quick cash. what about the 12 million americans who annually take out loans? there are not irrational bombs, they are mostly lower middle almost allot poor -- high school graduates with a job and big account, but not ready cash.

what option does this leave them ?ith guest: the federal government is not on the verge of banning payday lending. they do not have the authority to regulate interest rates. what happenser -- after payday lending is the wrong question, when we're thinking about the federal regulation. what will happen with the federal regulation is that by and large we will move from 400% several payday loans to month-long payday loans, installment loans. the better question is how can we make these loans work better whenever they are available. putbest way to do that is

,lear standards on the loans limit them to 5% of their paycheck. the rule is not going that way yet, although they have been asking some questions about it. commenting, going on get hopefully they will more permission about the need for clear product safety standards. we make it a final rule that columnist is calme talking about. host: up next, we have cherry, calling in from cottondale, alabama. you are on. good morning. caller: good morning. outfitscalling them wrong. they're are not payday lenders, they are loan sharks.

alabama, we were sharkted with loan lenders. 34% in alabama, the maximum you can charge. government decided not to enforce these laws. you are calling them loan sharks. tot we need is a legislator go and pass a law putting these people out of business and putting them in jail. alabama law -- i don't know about other states -- it is a six-month jail term. start calling them what they are. what it really is is big things banks want big

and then get as 30%-40% of that interest. rourke a's give nick chance to reply to your comments. guest: alabama is an interesting state. states, theyyday created a special law that lendersut the payday from the interest cap. there is a special law that allows payday lenders to do what they are doing and charge the interest rates. session, a reform bill was proposed that is a very otherbill, resulting in outcomes. he passed it on the floor, but it got blocked in the house. to gets a movement afoot

reform done, but it will take some time. i take the caller's point. even a 30%-40% interest rate is a shockingly high level of interest. banks in this country are charging $35 anytime anyone overdrafts, even for a couple of dollars at the grocery store. that amounts to an annual percentage rate of over 1000 percent. thinking of ways of getting reasonable installment loans so that people can take care of gaps in their budget is a good way to think about how not only to address the payday loan situation, but maybe even provide a pathway to pull this country out of the overdraft fee mess that we are in.

you talked about the efforts to push for changes. one of those, according to today's "washington post" is that it is being led by a group of christians united against predatory lending. they describe polling some finding in missouri and that the majority of the ideological group supported buty interest rate cap, conservatives supported the more s.an moderate have you seen this in your reporting? what sort of groups are coming together to push for reforms here? guest: interest rate caps have a long and rich tradition in this

country, going all the way back to the colonies. the colonies have interest rate limits. going forward, the vast majority of states do have interest rate states,i believe 46 which regulate on one way or another. interest rate limits have a role to play and they are very widely supported, the question is what is the right number, what does it apply to. so far, only 14 states plus the district of columbia have achieved passage of a law that restrictiveso rej that lenders go away. problem inpayday

this country. host: that story, about the christian group was in the "new york times," i mistakenly said it was the "washington post." carol calling in. you have had a payday loan. you are on with neck rourke. a payday loanied for quite a while. i worked for the state of illinois. we only got paid once or twice a .onth and it made it hard i have a college degree. .'m not stupid, just broke sometimes you would have three weekends where you would go without having any money because you paid the bills on the first paycheck you get, or the second paycheck, but you never had enough money to run the whole gamut of time.

when it was summertime and people were out doing stuff with the kids, you are sitting at home with no money, so you go and borrow some money. they turn around and charge you interest on that. you know, if you are conscious about paying bills, you pay those first, then you are left with nothing. since i have been retired and worked 50 years, i feel like my life has gone down the tube -- to planng i have tried for, and leaving a home for my kids when i'm gone. a chance's give nick to respond. she is a retiree. do you see a retiree as being more affordable to these types of loans? a payday loan, you

have to have some kind of income stream. if somebody is on social security or pension, that qualifies. i forget the exact number, but about 15% or 17% of loan borrowers are retirees trying to get some kind of fixed income. dayard somebody the other talking about if someone is hungry, you can talk about giving them food, but if the food is poisoned, it will f ir belly, but kill them down the line. host: we have another payday borrower on the line, gwen from maryland. you are on. go ahead. good morning, everyone. out alling because i took

payday loan in 2011. i did it with the intention -- had a good job, i had homes to make repairs, i had extra bills. money was running a little low, and i went online, to google, what can i do to make extra money. paydaysite came up about loans. i went on the website, and they .ade it so easy they said, we will charge you an and within two weeks, you pay back the loan. what happened is i was not able to pay it back in time. due allent that i was went to the interest, none of it to the principal.

i got caught up in this vicious cycle that none of my money was going where it needed to go. luckily, i had a family member i could go to, and i told them what was happening, and they were able to help me out. was notay lender wit empathetic to me at all. when i called and tried to negotiate they pay me back, they did not help me, they said they could not do anything for me. it was my responsibility to try and figure it out. i just wanted to say that these payday loans really need to be regulated and they do take advantage of a person because they know that at the time, they are in a really bad place. host: let's let nick respond. guest: the caller raises an

interesting issue. you can get a payday loan online. we surveyed borrowers that got these loans online. more than 30% of them reported they experience some kind of fraud where a lender or fraudster was taking money out of their account without authorization from the consumer. there are a lot of special problems going on with online payday lending. the cfp is starting to take the problem. of this not only are they doing strong people,ent actions on but in the rule that they have published, they have also proposed to limit how may times a lender can electronically that

it an account when there is not money already there. some people find themselves in the situation where a very aggressive lender gets access to the borrowers checking account and drives up hundreds of dollars of fees from the bank. that will be a big positive for people who get long online going forward. bancanext up, we have colligan from new orleans. well, my family did. one was my son, for years. then, my brother. i see, i have the papers here for my brother. he died already. $350 and onerrow

months he had to pay $405. $50 for one month. i went there and take them, don't give them your money, he is very sick, doing drugs, he doesn't need the money. live because he would buy drugs. host: let's give nick rourke a chance to respond to that. an example of where new federal regulations can help. somebody in that situation where they are sick, have problems, need money for medication, and so on, the new ability to repay standards can catch that kind of

thing. there is a bit of relief coming. for most people who use loans who need help with mortgage or car payments, they are still going to be exposed to a lot -- 400% or higher -- interest. that is why they could do a better job of protecting folks by putting clear product safety standards on. oft: dick york, director washington journal. live every day with news and policy issues that impact you. saturday -- sunday morning, a roundtable discussion about paul

ryan's agenda, including the efforts to combat poverty. we are joined by the heritage foundation and the center for american progress. slaven on the recent iaea report on the implementation of the iranian nuclear deal nearly one years since the agreement was announced. also, craig shirley, offer -- author of "reagan's revolution," talks about the history and lasting impact of the 1970 six republican convention, and the role it played in setting the stage of ronald reagan's election four years later. "washington journal," beginning at 7:00 a.m. eastern sunday morning. join the discussion. in his weekly address, president obama talks about puerto rico's debt crisis. senator cory gardner of colorado has the republican response.

he talks about the defense spending bill currently in the senate. hi, everybody. today, i want to talk with you about the crisis in puerto rico, and why it matters to all of us. puerto ricans are american citizens, just like folks in maine, or oklahoma, or new mexico. and over the last decade, puerto rico has suffered through a deep and painful recession, but unlike the rest of the united states, it hasn't recovered. today, the island continues to face a crippling economic crisis. schools are closing. power is being cut off at homes and hospitals. teachers have to choose between turning on the lights or turning on the computers. doctors can't get medicine to treat newborns unless they pay in cash. and as the zika virus threatens both the island and the mainland, workers dealing with mosquito control to help protect women and their unborn babies are at risk of being laid off. right now, puerto rico is spending about 1/3 of its tax revenue on debt payments, far

more than anywhere else in america. and on july 1, the island faces another $2 billion in debt payments that it cannot pay. there is only one way for puerto rico to pull itself out of this crisis, and that's by restructuring its debt and finding a sustainable fiscal path toward growth and opportunity for its people. but here's the problem. right now, puerto rico doesn't have the tools it needs to restructure its debt, tools available elsewhere in america. and only congress can fix the problem and put puerto rico on a path to recovery. thankfully, this week, the house overwhelmingly passed a bipartisan bill to address the crisis, and i now urge the senate to move quickly to follow suit. this bill won't cost federal taxpayers a dime. it doesn't include special-interest bailouts. and it gives puerto rico the ability to restructure its debt, safeguard essential services, and provide important protections to public pensions

that more than 300,000 folks rely on to retire with dignity. this bill also includes something else, a temporary system of oversight to help implement needed reforms and ensure transparency. i know that some folks in puerto rico are worried about this kind of oversight, but i've always insisted that any solution to this crisis has to respect the democratic rights of the people of puerto rico. and i am committed to making sure that puerto ricans are well-represented in this process, so that we can be sure we're taking steps that are in the island's best interests. this bill is not a perfect solution. nobody's saying it is. that's what happens in divided government. but it's the only option on the table to save puerto rico from spiraling out of control. and that's exactly what would happen if congress fails to do its job. there's no question this is a trying time for folks in puerto rico. they've seen too many jobs lost and too many neighbors leave in search of better opportunity elsewhere. it's clear that it's time for puerto rico to chart a new

course and make a fresh start. this bill is just a first step. we all have more work to do to make sure that the people of puerto rico receive the health care they deserve and the good jobs and economic opportunities they need to build a better future for their kids. and i want the people of puerto rico to know that my administration is committed to your success, because you're vital to america's success. that's what this is all about. we don't turn our backs on our fellow americans. we don't treat folks differently because of where they live. instead, we treat each other as americans. we come together, especially when it's hard. that's how we've always set ourselves on a course toward a brighter day. thanks everybody, and have a great weekend. rep. gardner: play. -- hi. i'm cory gardner. this past week, the senate continued to debate the bipartisan national defense authorization act, or nda. is important because

it supports our troops and families. it is also essential to combating threats around the globe and protecting our homeland, which includes blocking the president from moving guantanamo detainees to the united states. these detainees are not in gitmo for a parking ticket. they are there because they want to kill americans and hate everything we stand for. a are the worst of the worst. current law already prohibits the president from bringing these terrorists to committees -- communities in the u.s. the white house, however, has not ruled out unilateral action. closing guantanamo bay and transferring the detainees to the united states would jeopardize our security. here's why. bay presents the opportunity to capitalize on our intelligence gathering when additional terrorists are captured and detained. closing its doors may mean the loss of an important tool that could prohibit future attacks.

-- prevent future attacks. secondly, closing guantanamo means that the administration could accelerate the transfer of these prisoners to the united states or abroad. this is reckless. we like a real strategy to defeat isis, and the threat of prisoners returning to the battlefield has been materialized time and time again. of the detainees released prior to 2015 in either have or are suspected to have returned to the fight against the united states. and upon release, we know some of them have killed americans. the obama administration has even admitted this. lastly, the detainees who are determined to eat up dangerous -- determined too dangerous to release will be released into the united states, and americans across the country do not want that will stop i stand -- do not want that. i stand with the american people in opposition. we live in a dangerous world

with reckless actors, who seek to destroy the democratic principles that make our country so great. that whenminded me the united states retreats, a power vacuum is created that unprincipled and disruptive powers will fill. that's why it's critical that we thatnue to show our values empower men and women. freedom of speech, freedom of religion, freedom of the press. these unalienable rights that are entrenched in our constitution are out of reach for many people around the world. that was clear to me on a recent trip to asia, when i met with government officials and military commanders and reaffirmed our shared values. importance ofhe u.s. leadership and strengthening our alliance with allies in the region. is more important now than ever that the united states sends a strong signal that it is ready and willing to work with our allies in and across the pacific, and our crucial nato allies to protect these rights.

this requires not only maintaining, but growing our presence in the region. the president must sign the ndaa, because it will bolster our national defense and equip our military with the resources it needs. --the same time, it inspired it reminds us what inspires our brave men and women to serve. that's the freedom and democratic principles we cherish , and our enemies fear it. announcer: on american history tv on c-span3, sunday morning, we will simulcast open washington journal" live from 10:00 a.m. -- 9:00 a.m. to 10:00 a.m. eastern. the whiteon road to house: rewind, the 1976 republican national convention, and a close race between gerald ford and ronald reagan for the nomination. speech, andceptance a response by ronald reagan. >> i believe the republican

party has a platform that is a pattern of old colors and pastel shades. announcer: at 6:00 on "american visit the women's equality national monument in washington, d.c. and see the work of cartoonist nina allender. >> she creates a useful, invigorated, intelligent woman. in this image, she is very slender. ankles,t was above her which is also different at that time. you can see that changing taste of fashion at that time as well. her hands are on her hips, and she throws her hat into the ring of politics. announcer: a political cartoonist from 1914 until 1927, she contributed over 150 cartoons in support of the women's suffrage campaign. this evening on "lectures and history" -- the idea that 1/10 of the black population would lead the race to freedom.

this was developed at the beginning of the century. and this was developed, there were 9 million african-americans. of the 9 million, less than 20,000 had acquired degrees. mauricer: professor jackson on w.e.b. dubois, his life, his role as an educator, and his relationships with other advocates. and real america will showcase a series of films. we will look at "science reporter: food for space travelers." algae, fungi, bacteria, or a combination where you would have essentially a small farm in space. he would produce your own food and you might conquer only regenerate oxygen and pick