Payday Loans News

Stand up Missouri Logo
Dec, 12, 2011
A new organization claiming to be a non-partisan coalition of consumers, businesses, civic groups and faith-based groups called Stand Up Missouri has been launched.   This group argues to be protecting Missouri from the Missouri Payday Loan Ballot Initiative, an initiative looking to reform state’s limits on interest rates and fees on consumer credit, title, installment, and payday loans.  
Repair man holding toolbox and wrench
Dec, 8, 2011
The amendment SB 462 was pre-filed last Thursday. SB 462 amends Missouri laws relating to unsecured loans of $500 or less.   This amendment was proposed by Sen. Joe Keaveny, and designed to target the payday loan industry. It plans to stop payday lenders from “rolling over” unsecured payday loans of $500 or less more than once.  
Gavel in front of legal books
Dec, 5, 2011
Payday Loan Yes, Fast Cash Advance, and Nationwide Cash Inc., all had suits filed against them at the end of November by Missouri’s Attorney General, Chris Koster.   These three payday companies belong to two parent companies: Global Payday Loan LLC and Ambassador Financial Services Inc.   These payday lenders have failed to register with the Missouri Secretary of State and the Missouri Division of Finance, yet have been still lending money to Missouri borrowers.  
Woman handing roll of bills over
Nov, 29, 2011
As a result of a new disclosure law in Utah, payday lenders were forced to disclose some previously hidden information from their books. According to the Salt Lake Tribune, Utah payday lenders say 99.9 percent of their loans are paid off before they reach their rollover limit of 10 weeks.   These payday loan lenders claim those numbers are evidence that their loans are not traps, but rather a needed and well-used service that the public as a whole benefits from.  
Stick Figure Soldier
Nov, 23, 2011
Jason Cox, a staff sergeant from Georgia, is suing Community Loans of America, a lender who offers a service similar to payday loans, for charging far above the allowed annual interest rate on a military loan, according to The Associated Press.   This Fort Benning soldier claims he took out a loan for $3,000 for a trip to pick up his daughter. Within a year, his loan cost him more than $4,000 in interest alone. That amount of interest far exceeds the rates allowed by measures established to protect service members from predatory lending.  
Man jumping as money floats around him
Nov, 18, 2011
Martin J. Gruenberg, chairman of the Federal Deposit Insurance Corporation (FDIC), gave a recent speech that covered some of the FDIC’s steps taken to curb the harmful effects payday loans have had on lower-income and minority families.   After determining “7 percent of U.S. households [who] do not have bank accounts, and another nearly 18 percent who may have an account still utilize non-bank financial services such as check cashers and payday lenders,” as stated by Gruenberg, the FDIC is shifting focus to “expanding access to insured financial institutions to all Americans.”  
Payday with Google color scheme
Nov, 17, 2011
Former Google executive David Merill is now trying his run at payday lending, according to DailyFinance.com.   His new site, Zestcash.com, “uses some fairly high-level Google-esque algorithms to assess its borrowers’ creditworthiness,” according to DailyFinance.   From using traditional factors like payment history to exploring new frontiers that Merill feels are revealing, such as a borrower’s cell phone plan, Zestcash hopes to gauge a borrower’s likeliness of paying a loan back.   But Merill is receiving a lot of criticism for venturing into what many see as a questionable business.  
Gavel hitting wood
Sep, 21, 2011
September 21, 2011 – One scam that many payday lenders use to target consumers is by illegally requiring employers to take money out of the borrower’s wages to pay back the loan. The Federal Trade Commission (FTC) seeks to end this activity by frequently charging these companies in court.
Calendar standing upright
Sep, 16, 2011
September 16, 2011 – Pawnshop operator and payday loan provider Cash America International, which is based out of Fort Worth, Texas, announced today that it plans to spin off most of its online lending subsidiary, Enova International.
Upwards graph made of gold coin columns
Sep, 9, 2011
September 8, 2011 – Payday loans can offer short-term financial relief for borrowers strapped for cash, but as debate on a new California bill has pointed out, they can also put borrowers deeper in debt while stacking on high interest rates and fees. California lawmakers are discussing a bill (AB 1158) written by Assembly Majority Leader Charles Calderon (D-Whittier) that would amend the current state laws to increase the maximum amount borrowers can receive.

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