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Additionally, as discussed in Market Concerns—Short-Term Loans, where lenders' attempts to extract money directly from the consumer's account fails, the lender often will resort to other collection techniques, some of which—such as repeated phone calls, in-person visits to homes and worksites, and lawsuits leading to wage garnishments—can inflict significant financial and psychological damage on consumers.
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In determining the appropriate length of the reborrowing period, the Bureau considered several time periods.
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