√Payday Loans — And Endless Cycles Of Debt — Targeted By Federal Watchdog

For millions of cash-strapped consumers, short-term loans offer the means to cover purchases or pressing needs. But these deals, typically called payday loans, also pack triple-digit interest rates — and critics say that borrowers often end up trapped in a cycle of high-cost debt as a result.

Now, the Consumer Financial Protection Bureau (CFPB) is preparing to unveil a framework of proposed rules to regulate payday lenders and other costly forms of credit. The federal watchdog agency is showcasing those proposals Thursday, the same day that President Obama is in...