HB 5161 is a pragmatic step toward improving responsible credit access and protecting consumers across Michigan

Lansing, MI (November 5, 2025) – The American Fintech Council (AFC), the premier industry association representing responsible fintech companies and innovative banks, today announced its strong support for House Bill 5161 (HB 5161), which raises Michigan’s interest rate cap on consumer credit from 25% to 36%. AFC commends Representative Curtis VanderWall for introducing the legislation, which will expand access to affordable credit for Michigan consumers while maintaining guardrails that protect against predatory, triple-digit interest rates.

“Michigan families deserve access to safe, affordable, and responsible credit when they need it most,” said Phil Goldfeder, CEO of the American Fintech Council. “AFC was built on the foundation of responsible credit for communities long forgotten by traditional financial institutions. A 36% cap modernizes an outdated framework and ensures that hardworking families can borrow responsibly and build financial resilience without resorting to dangerous alternatives.”

Michigan’s current 25% cap restricts access to safe, regulated credit options for many working families, often pushing them toward unregulated or high-cost alternatives. By enacting HB 5161 and adopting a 36% cap, lawmakers would align Michigan with national best practices that balance affordability, access, and consumer protection. Responsible fintech lenders already operate successfully under similar standards in other states, helping millions of consumers pay off credit card debt, cover essential expenses, and build financial stability.

“The 36% interest rate cap strikes the right balance for Michigan families, both expanding access to credit while maintaining strong consumer safeguards,” said Ashley Urisman, Director of State Government Affairs at the American Fintech Council. “It’s a clear, evidence-based standard that reforms Michigan’s credit framework and ensures responsible lenders can continue to safely serve consumers.”

AFC looks forward to working with Michigan policymakers to advance HB 5161 and ensure all residents have access to safe, affordable, and transparent credit.

A standards-based organization, AFC is the premier trade association representing the largest financial technology (Fintech) companies and innovative banks offering embedded finance solutions. AFC’s mission is to promote a transparent, inclusive, and customer-centric financial system by supporting responsible innovation in financial services and encouraging sound public policy. AFC members foster competition in consumer finance and pioneer products to better serve underserved consumer segments and geographies.

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