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The Bureau notes that, as discussed in Market Concerns—Short-Term Loans, covered short-term loans are frequently marketed to consumers as loans that are intended for short-term, infrequent use.
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Because of the impact of the presumption of unaffordability for a new covered short-term loan during the term of and for 30 days following a prior covered short-term originated using the ATR approach, lenders would not be able to make another similar covered short-term loan to a borrower within 30 days of the prior loan, unless the borrower's financial capacity had sufficiently improved since obtaining the prior loan.