Sweeping brand brand new guidelines proposed Thursday by the customer Financial Protection Bureau could upend the pay day loan industry, which consumer advocates say usually traps cash-strapped employees into a vicious period of borrowing.

If enacted, the principles generally speaking will demand loan providers to validate that borrowers are able the loans and limit how many times people usually takes away successive loans. The principles also would rise above pay day loans to focus on other expensive short-term loans, including some installment that is high-interest and vehicle name loans.