If you’re doing loans inside a storefront or on the Internet, there are some new laws in effect January 1st. Here are some general rules: No more title loans. No interest rate cap on payday loans. Minimum term (as of now) is 90 days. Max principal and interest is $1,500. State database in place (maybe […]
Category Archives: payday loans
Chicago Networking Event on Thursday, Sept. 16th
IntroXL.com is sponsoring a networking (drinking party) event on Thursday, Sept. 16th at the Luxbar, Chicago. The event will take place from 9pm-11pm. If you’re a lender (Internet or Brick and Mortar) or Industry partner, please join us for complimentary drinks. To learn more or RSVP, please click here. If you are an Illinois lender, […]
Posted in payday loans
Some think new CFPB bill a good thing for bank alternatives
Paul W. Eckert of Family Financial Centers think banks will hurt more, now that the CFPB has passed. This will push more consumers into alternative financial centers, like his. You can read the full article in Cheklist magazine.
Posted in payday loans
Letter from Dick Durbin regarding CFPB
This is a letter I received from Dick Durbin’s camp. I’m all for common sense, as long as mis-perception does not get in the way. I guess we’ll see what happens. Full letter: Thank you for sharing your concerns regarding the Restoring American Financial Stability Act, S. 3217. This legislation will reform Wall Street and big bank […]
Posted in payday loans
Payday loans in TIME magazine
In an article titled “Six Problems the Consumer Financial Protection Bureau Should Tackle First” payday lending made the cut. The problem w/ these fixes is that it puts people with good credit on the same plane with people with bad credit. Basically, it creates a much bigger problem than it solves. Here is their solution: […]
Also posted in national
How would you catch a fake contract
This applies more to brick and mortar payday loan operations. How would you catch a fake contract in one of your stores? Can you answer that questions? Most owners don’t want to think about this, so they don’t. The issue that I have w/ owners is that if they have very loose policies, they’re actually […]
Posted in payday loans
Comment of the day
This comment came out of Yahoo. The article is “Obama calls for bank tax as next step in reform.” User “G” is credited w/ this comment. “The democrat view of the economy: If it moves, tax it. If it keeps moving, regulate it. If it stops moving, subsidize it.”
Posted in payday loans
Illinois has new payday loan laws
It’s official. Illinois has a new consumer loan laws. The House voted 108-1-1 to pass House Bill 537. The governor has 90 days to sign it, so we should be looking at this bill becoming effective in about one year (between April 1 – May 1, 2010.) We have 3 products today: PLRA 14-day product […]
Also posted in Illinois
The truth about payday loan alternatives
I read about this in the PaydayLoanIndustryBlog and you can find the full text in American Banker titled “Study Cast Doubts on Payday Loan Initiatives.” Here’s the conclusion: “The survey evidence paints a negative picture of how consumers view credit union payday loans,” the report said. “Most payday borrowers indicate a strong preference for a […]
Posted in payday loans
Payday reform bill on verge of passing statehouse
This comes from Crain’s Chicago. “Compromise legislation to overhaul two state laws—the Consumer Installment Loan Act and the Payday Loan Reform Act—cleared the state Senate last week on a 58-1 vote and is pending in the House. Representatives of both consumer groups and lenders, which have battled for three years to close what critics have […]
Also posted in Illinois
