ALex Jones* has to turn off his phone at work so the constant texting doesn’t distract him. He gets around 20-25 a day from payday lenders and brokers offering high cost loans of up to £1,000 at a time. “Need money ? We have reviewed your application…” reads a typicalRead More →
In May, when Google announced it would ban all payday loan advertising through its AdWords service, Consumer Advocates were delighted. “The ban on predatory payday loan ads shows that Google is ready to put people before profits,” exclaimed Wade Henderson of the Leadership Conference on Civil and Human Rights. ButRead More →
LendUp, an online lender that has promised friendlier alternatives to high-cost payday loans, will pay $6.33 million in refunds and fines for breaking consumer credit laws. LendUp, which operates in 24 states, will repay $1.83 million to more than 50,000 borrowers under the federal regulation, the Consumer Financial Protection BureauRead More →
This is the most expensive column I have ever written, as it cost me over $80 to research. I wanted to understand how millions of our fellow citizens manage between two paychecks – like 12 million Americans a year, according to The Pew Charitable Trusts — so I took outRead More →
a sweep to study bans on payday loans, which are expected to be published soon in The Journal of Law and Economics, have found similar trends in other states. When short-term loans disappear, need doesn’t demand it; many customers simply turn to other expensive forms of credit like pawn shops,Read More →
(Reposted for wider distribution) NEW YORK, July 20 (IFR) – Marlette Funding secured its second personal loan-backed bond easily on Wednesday, but investors said the primary market was still wary of deals from the online lending industry. Marlette’s US$180 million ABS was just the second personal loan sold by anRead More →
A trade group of online payday lenders has begun scouring the internet for sites making misleading claims, as part of an effort to clean up the reputation of an industry plagued by complaints from consumer groups and regulators. The Alliance of Online Lenders, which represents short-term lenders and the businessesRead More →
Dan Kitwood | Getty Images If you need cash fast, make sure a payday loan is really your last resort. Cash-strapped consumers may have more options than they realize. The Consumer Financial Protection Bureau is proposing new rules to curb payday lending practices that the agency says can land borrowersRead More →
If you need the cash – fast – make sure that a payday loan is really your last resort. Cash strapped consumers may have more options than they realize. The Consumer Financial Protection Bureau is to propose According to the agency, new rules to restrict payday lending practices can leadRead More →
According to one study, around 42% of millennials have used an alternative financial services product. Nearly 50% of millennials couldn’t find $2,000 for an unexpected bill the following month. Federal regulators are expected to announce more rules on alternative lending products in June. Google made headlines in announcing the paydayRead More →
Google, the search engine company of Alphabet Inc GOOGL, +0.14% announced plans Wednesday to ban payday lender ads. This decision comes after pressure from outside groups. More than 200 members of a coalition led by the Leadership Conference on Civil and Human Rights voted unanimously in December 2013 to urgeRead More →
Google on Wednesday said it would ban all advertisements for payday loans and related products on its website because they often result in unaffordable repayment terms and financial harm to consumers. David Graff, director of global product policy at Google, announced in a blog post that the global ban wouldRead More →
Payday loans, which tricking low-income borrowers into swapping temporary cash for unsustainable interest rates, are a blight on the US financial system. That’s why it’s such good news that Google will ban payday loan ads starting this summer. If you are unfamiliar with the practice of payday loans, you areRead More →
Google said it would ban advertisements for payday loans because they may be “misleading or harmful”. The ban, which will take effect worldwide from July 13, will cover loans that may be due within 60 days and, in the United States, loans bearing an annual interest rate of 36% orRead More →
Google released a update of its advertising policy on personal loans this will impact many advertisers across all financial verticals. According to Google, ads and websites that promote dangerous payday loan offers will be banned from advertising with AdWords. …we prohibit advertisements for payday loans and certain related products fromRead More →
Imagine that you find yourself in some kind of financial crisis: the rent is due, but your car broke down a few weeks ago, gobbling up a few hundred dollars. Now you are small. You know your family and friends can’t help you, so you type the phrase “can’t doRead More →
The CFPB has published a new report titled “Online Payday Loan Paymentssummarizing data on returned ACH payments made by bank customers to repay certain online payday loans. The latest report is the third report released by the CFPB under its payday loan regulations. (Previous reports were published in AprilRead More →
An online payday loan transaction has been accused of exploiting more than 4.5 million Americans, according to Manhattan U.S. Attorney Preet Bharara. The payday lender has systematically evaded state laws in order to be able to charge illegal interest rates of up to 700% on loans, according to a criminalRead More →
Woman shares her story with The ABC News Fixer so others don’t suffer the same fate. Through THE ABC NEWS SECURE STEPHANIE ZIMMERMANN 20 October 2015, 15:35 • 4 minutes to read Share on FacebookShare on twitterEmail this article ?? – Dear ABC News fixer: I tried an online loanRead More →
It’s the first week of February and Anthony Goytia has already spent his tax refund. It all went towards one thing: paying off his payday loans. “It wasn’t as big as usual, so we couldn’t afford all we wanted. I still have two payday loans outstanding and my wife alsoRead More →
More than a million people will see the cost of borrowing lower now that new price caps on payday loans have taken effect. However, early indications are that many of the biggest players in the industry will charge the maximum amount allowed by the new regime, instead taking the opportunityRead More →
Online payday loan operators threaten their customers, encourage loans designed for long-term debt, and charge exorbitant interest rates, according to a study by Pew Charitable Trusts. “Online lump sum loans typically cost $ 25 per $ 100 borrowed per pay period, an annual percentage rate of around 650%,” Pew noted.Read More →
Payday lenders are often compared to loan sharking. Critics say these lenders prey on people who are so desperate for money fast that they unwittingly take out loans that end up costing them absurdly high interest rates. According to Search Pew Charitable Trusts As of 2012, the typical payday loanRead More →
ABC News Fixer hears a man taken into an advanced fee loan program. Through STEPHANIE ZIMMERMANNABC NEWS SET June 10, 2014, 19:29 • 4 minutes to read Share on FacebookShare on twitterEmail this article June 10, 2014 ?? – Dear ABC News fixer: I was trying to get a paydayRead More →
Payday lenders made about $ 49 billion in high interest loans last year. More than a third of these loans were made online. I wondered what happens when you apply for such a loan, so I decided to find out. While reporting a story earlier this year, I logged intoRead More →
The Church of England’s assertion that it will take on Wonga – and the subsequent revelation of its investments in the business – has brought the payday loan industry back into the spotlight. Wonga is the best-known company operating in this field, offering short-term loans at high interest rates. SoRead More →
RICHMOND, VA (WWBT) – Scammers have set up a sophisticated scheme to steal from people asking for emergency money through a company offering payday loan services. If you have to send money to borrow money, it is a bad decision. Jacob Coker has seen many red flags, he says, afterRead More →
RICHMOND, VA (WWBT) – Scammers have set up a sophisticated scheme to steal from people asking for emergency money through a company offering payday loan services. If you have to send money to borrow money, it is a bad decision. Jacob Coker has seen many red flags, he says, afterRead More →
Jamie Dimon, chief executive of JPMorgan Chase, pledged on Tuesday to change the way the bank deals with internet payday lenders that automatically withdraw payments from borrowers’ checking accounts. At an investor meeting on Tuesday, Dimon called the practice, which was featured in The New York Times on Sunday, “terrible.”Read More →
RICHMOND, VA (WWBT) – Local consumer advocates warn of an online payday loan company targeting the public. Tom Gallagher of the Richmond Better Business Bureau is sounding the alarm. Organization wary of online payday loan company called Qxlonline. “The very first thing they ask you, go right to their coverRead More →