Cash advance

Consumers depending on cash advance need to be safeguarded from the CFPB

By utilizing behavioral economics’ insights, organizations like, the Consumer Financial Protection Bureau and the Environment Protection Agency have been controlling the economy, especially cash advance business in such a manner that have never been seen before. These organizations do not deal with the shortcomings of the industry, but identify the shortcomings that are perceived on the part of the end-users. To put it simply, consumers are being controlled because they are thought to be less alert to detail, and therefore, they are considered to be making bad choices. The reorganization of the regulatory tactics was prompted by the realization that consumers do not always make logical choices. As per some experts, people are inclined to save less than they actually should. They have a tendency of overestimating themselves about their capability of paying bills and underestimating the consequences of debt. This is what policymakers and a group of academics have put forward as an argument for their decision to regulate the short-term lending industry. Payday…
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Cash advance

Can’t borrow e-payday loans-due to CFPB

Borrowing e-payday loans is getting harder and harder day by day, thanks to the agencies responsible for regulating the industry. The agencies of the likes of CFPB (Consumer Financial Protection Bureau) have started using the behavioral economics’ insights to regulate the economy by creating embargoes and finishing of the products altogether rather than solving the shortcomings in the marketplace. For this they are regulating consumers. Why you ask? Because, apparently they are less attentive to detail, this can lead them to make poorer choices than government officials. According to a study, consumers are less rational in their choices, and that fact has become the stimulant in the changing focus of regulations, namely from service to consumers. A few experts are of the opinion that consumers save less than they should and also they tend to overestimate their pay ability and underestimate their debt obligations while making use of credit opportunities. This right here is the thought process of policy-makers and academicians who are regulating consumer…
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Personal Finance

Donald Trump Will Knock Down the Legacy of Elizabeth Warren Regarding Payday Advance Loan

Donald Trump Will Knock Down the Legacy of Elizabeth Warren Regarding Payday Advance Loan Elizabeth Warren, Massachusetts Sen., gave an impassioned speech at an invitation-only lunch organized by the AFL-CIO after the presidential election was conceded by Hillary Clinton. She praised the crticisms of President-elect Donald Trump about Wall Street and his promise to enhance infrastructure spending before pouncing on what it meant to rebuild the economy. Warren said that the Americans want the big banks to be held accountable, but that will not happen if they sack Dodd-Frank and the cops who have the responsibility of watching such banks like, CFPB (Consumer Financial Protection Bureau). According to her, if the Republican Party and Trump turn payday advance loan institutions and big banks loose, they will be gambling with their economy and bringing it all down. The kind of stance that will be taken by the Trump administration is quite unclear as of now, but he has struck populist chords, said that he wants to…
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Life

Presidential Appointment Powers Must be Limited Soon

By now, everyone pretty much agrees that President Obama overstepped his boundaries and constitutional authorization back on January 4th, 2012. Don’t remember what happened that day? It was when he gave the head of the Consumer Financial Bureau, Richard Cordray a recess appointment. All of this eventually led to recent, troubling events. Cordray, who despite his job title is still simply a private citizen, has issued lots of potentially game-changing decisions on the part of the CFPB. In the case of State National Bank of Big Springs v. Lew, the judge said that Cordray was able to wave around a “magic wand” to help retroactively make his actions the law of the land. So then, the decision to grant recess to Cordray, and to ultimately keep him in a place of artificially inflated authority, has eroded the Constitution’s very direct instructions that limit the appointment powers of the President of the United States and will likely set a precedent that future presidents will adhere to.…
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Personal Finance

Should you be in a Hurry to pay off Student Loan Debts?

While finishing college is a huge relief for people, there are other types of anxiety that start to set in once school is over with. Many graduates find themselves stressed out with the idea of finding a good job, which direction they should take their career in the future and most pressing for some is trying to come up with a way to pay off their huge student loans as quickly as possible. If you check out any type of social media site where former students sound off about their current issues, you’ll find hundreds of them posting about how worried they are that they won’t be able to pay off their student loan debt quickly. The Temptation to pay off Student Loans Immediately While no one likes the idea of paying off huge amounts of debt, graduates are usually very eager to whittle down their student loan debts almost as soon as they enter the full time work force. However, the temptation (some might…
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Fast Cash

Obama Administration Appears Set to Wage War on Online Lenders

The Obama administration made some announcements recently that should be of concern to anyone who gets loans online or who operates an online lending company. The administration announced that it is actively soliciting for complaints from people who have been “encountering problems with loans from online lenders.” This is a blatant warning that financial regulators are going to be taking some serious action against an industry that has experienced phenomenal growth in recent years. There are literally millions of people who have taken out personal loans via the Internet. These types of loans continue to grow in popularity because they don’t require borrowers to spend hours trying to procure a loan, and they give consumers access to loan applications, comparing loans and ultimately getting their money around the clock. People can easily compare the rates of one lender to another, the same way that they would compare hotel room prices or prices for products on Amazon. Marketplace loans, or online loans grew from $12 billion…
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Credit card

Credit Card Debt Rising to Dangerously High Level

There is an old saying about history repeating itself if we are not smart enough to learn from it. This seems to be happening right now with regards to credit card debt levels in the United States. It was less than a decade ago that the great recession financially rocked the United States. Prior to the recession, things were cruising right along, economically speaking. And that means that credit card debt levels were pretty high. Of course, once the bottom fell out, all of that consumer credit card debt led to financial disasters for millions of American consumers. That same type of debt is rising to a level that is pretty darned close to pre-recession numbers. Take for example the closing of last year. In the final quarter of 2015, consumers racked up a sizeable $ billion in credit card debt. That number can be so hard to digest that it is difficult to understand how much debt affects the average household. When adjusted to…
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Personal Finance

Here is a Mobile Phone Service that is Saving People Lots of Money Every Month

There was a time, not all that long ago, when people only had to pay for a land line with regards to their telecommunications costs. It wasn’t too long before having a mobile phone became a necessity. And just a few years later, most people have smart phones and wouldn’t know how to get by without them. The new technology is great, but having to pay higher bills every month to get access to data, texting and talk minutes is no fun at all. This is especially true for folks who are trying to do their best to save a little money. Are you one of the millions of people who pay too much for their monthly cell phone bills? If you are, you can rest assured that there are lots of other people out there who are actively trying to find ways to cut back on their mobile phone bills every month. Think about this: The average monthly mobile phone bill from the popular…
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Cash advance

Most Payday Loans are Actually Paid Back on Time

Like many other states, Utah recently put some important protections into place to help protect consumers that take out payday loans. One of these requirements offers lenders the ability to offer extended repayment plans. This option, which includes zero-interest repayment for borrowers, was put into law because of outcries from an organization that demands more time for people to repay their loans. Some believe that this requirement helps borrowers to get more value from payday cash advance loans. An organization called the Community Financial Services Association of America (CFSA), an organization that strives to offer best practices for short term lenders, has lauded this Utah law. This law gives borrowers lots of time to repay their loans, without forcing borrowers to pay higher fees to get an extension on their loans. This flies in the face of some media reports that demonize payday lending companies in the state of Utah, and even the consumers these lenders provide services for. In fact, one article went so…
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