CFPB Sues Brokers of Credit Offers

The Consumer Financial Protection Bureau (Bureau) and the South Carolina Department of Consumer Affairs (South Carolina) today filed a lawsuit in federal district court in the District of South Carolina against Katharine Snyder, Performance Arbitrage Company, Inc., and Life Funding Options, Inc. The companies, owned and operated by Snyder, brokered contracts offering high-interest credit to … Read more

Can First Choice Advocacy Really Eliminate My Payday Loans?

Question: Dear Steve, I currently Have two Payday Loans that I am currently making Bi-Weekly payments on. These are very high yield Interest loans as most payday loans are structured. I end up paying a total of $700 a month to these payday loan companies via ACH withdraw from my Bank Account. These scheduled payments … Read more

Is My Payday Loan Relief a Legitimate Company?

Question: Dear Steve, I am currently looking at consolidating my payday loans into one payment and have been looking at loan consolidation companies. Is legitimate? Jason Answer: Dear Jason, These kinds of questions are always really tough because I don’t know what “legitimate” means to you or the next person. I would recommend that … Read more

How Do I Get My Payday Loan to Stop Draining My SSDI?

Question: Dear Steve, I am currently on SSDI (Social Security Disability Income) and have been in a payday loan for over 5 years where each month I have to re-loan to catch up. My bank account is negative $600 almost half my SSDI check each month. And also owe $600 the same month. that is … Read more

Online Payday Lending in North Carolina – That Don’t Ain’t Going to Hunt

Attorney General Josh Stein was granted a temporary restraining order against the Miami, Fla.-based online payday lender Approved Financial, Inc. in a case he filed on May 15, 2019. The case alleges illegal, unlicensed lending practices, usury, unlawful debt collection, and unfair and deceptive practices. The temporary restraining order, entered by Superior Court Judge Stephen … Read more

Payday Lender Demands Nude Selfies as Collateral for Naked Loan Services

Let’s just hope more payday lenders don’t adopt the practices of the Far East Credit Company. Allegedly lenders in China was requesting nude pictures of female borrowers as collateral. A leak of images “exposed” 167 borrowers so far. The loans apparently began through Jiedaibao, a peer-to-peer lending platform in China. The request for nudes as … Read more

Banks Encouraged by Regulator to Offer Payday Loans and That Is a Good Thing

The Office of the Comptroller of the Currency (OCC), which is part of the U.S. Department of Treasury, has taken a big step forward in encouraging the lenders they supervise to feel free to get into the payday loan business. More importantly the lenders are encouraged to lend to folks they otherwise would not have … Read more

Predatory Payday Loans, a Dramatic Social Ill — What Will Congress and Louisiana Do?

Pope Francis once called usury, the practice of lending money at unreasonably high interest rates, a “dramatic social ill.” The supreme pontiff went on to say, “when a family has nothing to eat because it has to make payments to usurers, this is not Christian, it is not human.” Although impious and inhumane, predatory lenders … Read more

I Took Out a Advance Finance Loan While I Was Working With ClearOne Advantage

Question: Dear Steve, Doing debt settlement but not making it … trapped by flex loan I’m into my second year of a debt settlement program with ClearOne Advantage. It was going fine until they started asking for additional payments to settle individual loans. It got to be so much, I’ve been getting local and online … Read more

I’ve Made Payments on My Title Loan But I Don’t Think They Are Reporting Them Correctly

Question: Dear Steve, I took out a title loan due to an emergency about 1.5 years ago. I’m a single mom, newly divorced trying to make ends meet while bettering our lives. Unfortunately, in August 2016 I became unemployed. I contacted the finance company and explain the situation and they reminded me that I signed … Read more

FTC Obtains Court Order Against Scheme that Sold Fake Payday Loan Debt Portfolios

The Federal Trade Commission has obtained a $4.1 million judgment and a ban on handling certain sensitive financial information about consumer debts against an operation that sold lists of fake payday loan debts to debt collectors. A federal court issued a default judgment granting what the FTC sought in a complaint filed in 2016. The … Read more

If Congress Doesn’t Stop This New CFPB Rule Then People Will Get More Payday Loan Protection

The Consumer Financial Protection Bureau (CFPB) today finalized a rule that is aimed at stopping payday debt traps by requiring lenders to determine upfront whether people can afford to repay their loans. These strong, common-sense protections cover loans that require consumers to repay all or most of the debt at once, including payday loans, auto … Read more