Archive for June, 2013

AG Cuccinelli Announces Settlement with Payday Loan Lender for Charging …

Sunday, June 30th, 2013

(Source: Attorney General Ken Cuccinelli) – RICHMOND (June 4, 2013) Today, Attorney General Ken Cuccinelli announced that his office has reached a settlement with Advance, LLC, d/b/a Advance Til Payday, an Illinois-based consumer lender operating one location in the Richmond area for alleged violations of the states statutes governing consumer finance.

Unless exempt, the consumer finance statutes prohibit unlicensed lenders from charging and receiving interest in excess of 12 percent per year on consumer loans. Under one exemption, lenders generally can charge interest and other fees at agreed upon rates. However, in such case the lender must provide a minimum 25-day grace period allowing the borrower to repay their loan in full before incurring interest.

The alleged violations occurred between December 1, 2008 and February 6, 2013.   During that time period, Advance typically charged its borrowers a 15 percent cash advance fee that the borrower must repay, along with the principal amount, by the close of the first billing cycle.   If the borrower did not pay the cash advance fee and principal balance by the close of the billing cycle, the borrower would be subjected to additional interest charges amounting up to 249.99 percent annually. The attorney general contended that the cash advance fee charged by Advance was interest charged without the application of a minimum 25-day grace period.   Because the cash advance fee greatly exceeded legal interest rate limits, it allegedly violated the state consumer finance laws.

The settlement includes the following:

A permanent injunction preventing Advance from violating the consumer finance statutes in the future by charging and receiving interest in excess of 12 percent on consumer loans, unless Advance is otherwise exempt by statute.

Advance agrees to offer refunds of all cash advance fees paid by consumers who (1) received cash advances from Advance between September 1, 2012, and February 6, 2013, (2) were charged cash advance fees, and (3) repaid their cash advance balance in full by the close of the second billing cycle.   This amounts to potential refunds of $39,790.00 to as many as 306 borrowers.

Advance further agrees to offer refunds of all cash advance fees paid by consumers who; (1) received cash advances from Advance between December 1, 2008 and August 31, 2012, (2) were charged cash advance fees, and (3) repaid their cash advance balance in full by the close of the second billing cycle.    Borrowers who received cash advances during this period should file complaints with the Attorney Generals Office within one year and provide documentation that they (1) received a cash advance from Advance during this period; (2) paid it off by the close of the second billing cycle; and (3) paid a cash advance fee during this period.

Particular problems may very well show up proven to bring on a hard time for most as a result of startling occasions. Choosing a real important Instant Cash Loans might be a strategy to help folks over trauma

The true price of payday loans

Saturday, June 29th, 2013

Hundreds – probably thousands – of people in Ottawa are paying more than FIVE HUNDRED PER CENT in annual interest to get a loan. And it’s perfectly legal.

Don’t believe it? Then you are not among those who patronize businesses that offer “payday loans.”

A payday loan is just what the name implies. You go into your friendly lender’s shop and borrow a few hundred bucks to tide you over until payday.

And, boy, will you pay through the nose for it!

If you borrow, say, $300 for two weeks, and repay the loan in full and on time, you will pay as much as $63 in interest. That’s a whopping 21 per cent.

A rate of 21 per cent for two weeks works out to an annual interest rate of 546 per cent. And that’s before compounding and any late-payment fees.

Outrageous and surely illegal, you might think. But you would be half wrong. It is outrageous, in my view. But it is not illegal.

Several years ago, the federal government enacted changes to the Criminal Code to permit payday loans if provinces regulated them. Ontario’s Liberal government passed legislation limiting the cost of borrowing to $21 per $100 per two-week period. The law took effect in December 2009.

Not surprisingly, many payday lenders now charge the maximum permitted interest. Well, why wouldn’t they?

It is not known how or why the government of former premier Dalton McGuinty decided that an annual interest rate of 546 per cent was the appropriate level.

In contrast, pawnbrokers in Canada are restricted to charging a maximum of 60 per cent in annual interest. That is the rate charged by Accu-Rate, a leading foreign exchange dealer in Ottawa, which recently entered the pawnbroker business.

Accu-Rate offers loans at five per cent in simple interest per month in exchange for the deposit of valuables such as jewelry or silver.

Money Mart, a leading payday lender in the Ottawa area, recently sought to attract new or repeat borrowers with advertisements proclaiming: “Get a $200 payday advance FREE!”

The ad said the offer was valid only for the first advance or for the first advance in a year.

For clients who accepted Money Mart’s offer, the savings in interest on that $200 loan amounted to $42 if they repaid the loan in two weeks. But how many of those clients were able to repay the loan on time?

Not just anyone can get a payday loan. At Money Mart, applicants must be at least 18. They must have a bank account. And they must prove they have a steady job.

I asked Scott Hannah, president of Canada’s Credit Counselling Society, why anyone would take out a loan at 546 per cent annual interest – or, as the lenders express it, 21 per cent for 14 days?

His response: “In speaking with thousands of consumers with payday loans who come to our organization for assistance, many of these consumers do not fully appreciate the actual rate of interest.”

And, Mr. Hannah adds: “Often we see that consumers who regularly use payday loans do not have access to other sources of conventional credit such as credit cards, lines of credit or overdrafts.” He estimates more than 750,000 Canadians regularly or occasionally use payday loans.

Payday lenders, in other words, are providing a service that a segment of the population needs.

But why does this service cost so much?

People lucky enough to have a credit card frequently grumble at having to pay interest rates of little more than 1.5 per cent per month on their outstanding balance. Give me a break! These people have the convenience of buying on credit, plus the advantage of free credit from the purchase date to the date on which the monthly bill is due.

For payday lenders, it’s good business to maximize profits, as these lenders clearly do. On top of that, the good clients of payday lenders must pay for the bad ones who default on their loans. Those seemingly exorbitant interest rates are not all profit for the lenders.

Clients of payday lenders, having accumulated large debts of unpaid interest, are sometimes able to escape much of this debt by seeking help from a credit counselling organization. One such organization is Consolidated Credit Counseling Services of Canada.

A senior official there told me payday lenders sometimes waive payment of all accumulated interest, in return for the money initially loaned to the client.

But for the vast majority of payday loan customers, the obscenely high interest rates that are out of line with other forms of credit remain a fact of life.

One of a kind situations could very well manifest which is going to make hardship for many folks while in unforeseen periods. Discovering a real desired Online Cash Loan may be a wise course of action to enab

Bad Behavior: Men, Women and Credit Card Debt

Friday, June 28th, 2013

Plenty of studies have shown that men and women think and act in different ways, but when it comes to credit card debt, both sexes demonstrate bad behavior. recently compiled research on men, women, and credit card debt that reveals that while women are more likely to carry balances on their credit cards, men are more likely to take out cash advances.

The study covered a single year in peoples personal finance lives. Here are some of the ways credit-card-carrying men and women differ, and how their behavior can be damaging to their financial well being.

  • Using a cash advance. Cash advances typically carry a higher interest rate than other credit card transactions, yet over the course of a year, 15 percent of men took an advance. Just 12 percent of women did the same, making this one of the few areas where women behave better than men.
  • Carrying a balance. Sixty percent of women at one point or another carried a balance on their credit cards, but men arent far behind: 55 percent carried a balance. Among other downsides, carrying a balance above 25 to 30 percent of your credit limit can damage your credit score.
  • Late fees. Twenty-nine percent of women paid a late fee, but so did 23 percent of men. Late payments dont just cost you cash on a single bill — they also can cause your credit score to go down and the interest rates you pay to go up.
  • Making only the minimum payment. Forty-two percent of women sometimes made only the minimum payments, while 38 percent of men made the smallest possible payment some of the time. Minimum payments are structured so that it will take years and hundreds or thousands of dollars of interest payments to retire your debt.
  • Average debt. This is another area where women come out (slightly) better than men: Men carried an average of $12,953 in debt, while women had an average of $11,486.

On the other hand, some men and women are doing the right thing when it comes to money management:

  • Paid in full. Over the course of a year, 45 percent of men paid their credit card balance in full each month, and 39 percent of women did the same. Paying off your credit card balances can increase your credit score dramatically.
  • Comparison shopped for the best credit card. Thirty-seven percent of men have shopped around for the best card for their needs, while only 31 percent of women have compared cards. Comparing rates can save you money if you do carry a balance.
  • Pay their bills on time. Ninety-three percent of men said they paid their bills on time, as did 82 percent of women.
  • Check their credit report. Fifty-eight percent of men said theyd checked their credit report, compared to 49 percent of women. You should check your report annually to look for errors and ways to improve your credit score.

Is the playing field level?

According to NextAdvisor, women typically pay an interest rate thats 0.5 percent higher than men, regardless of their credit score and financial information. Still, with that working against them, women come out ahead when it comes to credit scores: The average credit score for a woman is 682 compared to the average score for a male of 675.

These latest statistics reveal that both genders have a long way to go to achieve an A in money management.

Unusual circumstances is likely to take place which will stimulate difficulty for lots of people because of acute time periods. Getting a new required Online Cash Advances Loans is actually a good grasp to en

UK Universities Ban Payday Loan Advertising

Thursday, June 27th, 2013
  • Tweet

Payday lenders may have lost a lucrative advertising opportunity, as the National Union of Students has requested that UK universities ban advertising for cash loan providers. Three universities have announced their support for the ban and have already removed advertising for high-interest payday loans from their campuses.

Northampton, Swansea, and Northumbria University have all banned payday loan advertising on campus after complaints about the high interest rates levied against borrowers. The universities banned the advertisements due to fears that the loans were being specifically targeted to students, causing long-term financial issues.

Payday loan providers have thrived in the UK after strict legislation reduced their ability to operate in the United States. Following aggressive regulatory action from US consumer finance groups and government agencies, a number of formerly US-based loan providers have set up shop in the UK to target struggling individuals.

Students, many of whom are affected by consumer debt and low incomes, are one of their primary demographics, according to the National Union of Students. The group plans to petition other universities to refuse advertising from the lenders, many of whom are currently under investigation by the Office of Fair Trading.

Rogue payday lenders are accused of using predatory tactics to target communities that are unable to repay their loans, as well as ‘trapping’ borrowers using interest rates that exceed 4,000 percent. The industry is one of several being studied by the Competition Commission for a potential irresponsible lending investigation.

The NUS has reported that as many as one in ten students have used payday loans to cover their living expenses while studying, with many claiming that on-campus ads helped them find credit opportunities. Lenders argue that students have very few low-interest credit opportunities, and that their service ‘bridges the credit gap’

Special ailments can present themselves proven to lead to headaches for many through surprising times. Getting some sort of vital Instant Cash Loans could be a good grasp to enable people while in hectic situ

School board underestimates legal fees by $100000

Wednesday, June 26th, 2013

There were other legal costs also incurred in the past year, bringing the total expense to approximately $190,000.

We hadnt billed for two years, and I didnt know what they would be, so its kind of hard to budget for that, Pearson said. This was with two different lawyers, because the consortium switched counsel. All that has been resolved with Olin, and we have a settlement, but we ran over budget. So, we needed some cash, so we made the transfer from Working Cash.

Pearson said the board intends to amend the 2013 budget next month to reflect this higher figure.

This was not a budget issue, he explained. This is strictly a cash flow problem. We have negative cash in there, which is what the Working Cash Fund is for – to loan money to other funds.

Once tax revenues begin to come into the district over the summer and fall, the Working Cash loan will be paid off, he said.

Other expected adjustments to the budget include showing the effects of Working Cash bonds sold in February, the subsequent transfer of $1.7 million from the Working Cash Fund to the Education Fund, the proceeds from a $113,000 Education Technology Revolving Loan and the $250,000 lease-purchase agreement to acquire 600 Chromebooks.

These changes needed to be reflected in the budget, Pearson said. Youre talking some major dollars here.

Extraordinary incidents could certainly come to the forefront that might provoke hassles for many through unanticipated times. Receiving some sort of mandatory Instant Cash Advances could be a strategy to aid

FHA Mortgage Rates : New MIP Costs Harm "Effective" FHA Loan Rates

Tuesday, June 25th, 2013

FHA mortgage rates are falling — below 3.50% on average nationwide, according to Federal Housing Administration data. However, as FHA mortgage rates make lifetime lows, the effect of rising mortgage insurance premiums (MIP) is canceling out the effect.

FHA mortgage rates are low. Effective FHA mortgage rates are not.

Take a look at todays FHA mortgage rates.

The FHA And Mortgage Rates

The Federal Housing Administration is not a mortgage lender, nor does it set FHA mortgage rates. Rather, its a government agency which insures mortgage lenders against losses on loans meeting specific minimum standards.

This set of minimum loan standards is commonly called the FHA mortgage guidelines.

Loans which meet Federal Housing Administration minimum standards, are eligible for FHA financing. For loans like these, banks provide mortgage rates based on the going price of a Ginnie Mae (GNMA) mortgage-backed security (MBS). A mortgage-backed security is a bond openly traded via Wall Street.

Mortgage bonds also dictate rates for conventional loans via Fannie Mae and Freddie Mac; VA loans via the Department of Veterans Affairs; and Rural Housing loans via the USDA.

Despite having little influence over todays mortgage rates, however, via its role as a mortgage insurer, the Federal Housing Administration still affects the monthly cost of using FHA-backed financing. This is because the group charges homeowners a monthly mortgage insurance premium.

FHA MIP can add up to 1.55 percentage points to your effective FHA mortgage rate.

Take a look at todays FHA mortgage rates.

Effective FHA Mortgage Rates : 44% Higher

The FHA is a government agency which, by law, is required to maintain $2 in its Mutual Mortgage Insurance (MMI) fund for each $100 insured. The MMI is the agencys cash reserves; the account from which insurance claims are paid.

6 months ago, the agencys reserves were negative, the result of a higher-than-expected number of claims for FHA-insured loans from between 2007-2009, and the agencys own misread of its financial position.

The Federal Housing Administration has raised its premiums six times since 2008 in order to keep its Mutual Mortgage Insurance fund flush with cash and, each time the MIP has climbed, the effective mortgage rate of an FHA-backed loans climbed with it.

Your effective mortgage rate you pay is the actual FHA mortgage rate from the lender, plus whatever annual rate of insurance youre charged by the government. 

The FHA most recently raised its mortgage insurance rates April 1, 2013, lifting annual mortgage insurance premiums to as high as 1.55%. This jump offsets the effects of the lowest FHA mortgage rates in a lifetime.

Furthermore, beginning June 3, for many loans, the FHA will make MIP permanent for the life of the loan.

FHA Streamline Refinance : Lower Effective Rates

The good news is that some FHA-insured homeowners are exempted from rising MIP. Via the FHA Streamline Refinance, homeowners whose current mortgage carries an endorsement date of May 31, 2009 or earlier pay just 0.55 percent in annual MIP.

Todays effective FHA mortgage rates for such grandfathered loans are near 4.00%.  

In order to meet FHA Streamline Refinance requirements, current homeowners must show that :

  1. At least 6 mortgage payments have been made on your current mortgage
  2. No mortgage payments have been missed in the last 3 months
  3. There is a net tangible benefit to refinancing; a legitimate purpose

For homeowners meeting FHA Streamline Refinance standards, the mortgage approval process is simpler.

There is no home appraisal required, which means that underwater mortgages are eligible. There is also no verification of income, assets and employment, based on official agency guidelines. And, lastly, closings can generally take place within a month.

All FHA-insured homeowners are eligible for the FHA Streamline Refinance — not just the grandfathered ones.

Take a look at todays FHA mortgage rates.

FHA Mortgages : Are They Best For You?

Since 2007, low-downpayment home buyers and refinancing households have been conditioned to look at FHA mortgages because of their low rates and value as compared to other mortgage options.

However, as MIP has increased, the reasons to choose FHA financing are fewer. A fair comparison should be made between FHA loans and the Conventional 97 program from Fannie Mae, for example. Or, between an FHA loan and the USDAs Rural Housing program.

FHA loans have great, low rates, but monthly costs can soar.

Get FHA mortgage rates for a comparison here.

Different occurrences could very well happen which may generate stress for some during unanticipated circumstances. Locating an actual crucial Fast Cash Advances Loan is usually a strategy to facilitate every Offers Overnight Cash Advance to Help People in an …

Tuesday, June 25th, 2013

Deerfield Beach, FL — (SBWIRE) — 06/11/2013 — Emergency can strike anyone at a time when there is no cash in hand. It has become tough to cope up with the day-to-day expenses, and hence there is no savings. When a situation arises when the cash is needed immediately, what can one do?

There is no time to wait for days to get the loan approved and then get the cash needed. This is where the services of can become useful. The applicants can visit the website and apply for cash advance loan. The application process is easy. Once the application is submitted for approval, the details are sent across 100 plus lenders. This is the reason why the approval rate is higher.

Once the loan is approved, the lenders present the loan terms to the borrower. The borrower can read the terms carefully and then if the terms are agreeable, he or she can accept to receive the overnight cash advance loan.

The spokesperson of the website said, “Our services are fast and hassle free. We match the borrowers to lenders free of cost. We have helped many get the loan and then deal with the crisis. Many have regained the peace of mind they deserve.”

The loan can be repaid back on the next payday. The advantage about these cash advance loans is that the borrower knows everything in advance about the fees charges, the repayment date etc. so he or she can mange finance accordingly.

Looking for overnight cash advance loans? Not sure where to begin? Visit the website

About CashLoansCorner is a website that helps people in financial crisis gets the payday loan through the wide network of nationwide approved lenders. The website is run by loan experts and it allows loan seekers to meet the most appropriate lenders in their area.

For more information about CashLoansCorner contact Mary Smith at +91-1244110418 or , CashLoansCorner; 3422 SW 15 Street, Suite #5217, Deerfield Beach, FL 33442

Exclusive incidents has the ability to appear which could bring on tough times for some as a result of unforeseen intervals. Securing an actual required Quick Cash Loans is actually a good plan to facilitate

Stillwater Police are investigating an armed robbery which occurred at …

Tuesday, June 25th, 2013

Related Photos

Uncommon problems has the ability to come about that can spark difficulties for most people during unusual times. Picking up the latest crucial Quick Cash Advances Loan may well be a great way to benefit folk

CashLoansCorner Announces the Accurate Concept of Loans in an Hour

Monday, June 24th, 2013

Deerfield Beach, FL — (SBWIRE) — 06/11/2013 — Financial complications are not very easy to deal with. It has the ability to even damage the personal relationships. And expecting or asking for a financial help from the loved ones or relatives can even complicate things further. Therefore the appropriate solution in a difficult financial situation will be to apply for an easy cash loan. But many people tend to be unsure about the accurate concept of loans in an hour. The main reason for this is the credibility of these private lenders.

CashLoansCorner has been the best site for having proved that the accurate concept of loans in an hour is for real. The readers can even read the reviews from several content customers who have managed to receive loans as early as in an hour. CashLoansCorner has a wide network of more than 100 lenders that offer the fastest and easiest loans in an hour facility. This service has been of big help for people in need of an immediate cash loan. The site even guides people about the easy loan application procedure of such loans.

The official spokesperson of the website added, “We at CashLoansCorner educate people about the types of cash loans. We even offer the most reliable lenders available in the business. CashLoansCorner has successfully proved that the accurate concept of loans in an hour does exist for real and people can resolve their immediate financial issues with the help of such loans. The lenders recommended by our website are completely trustworthy and offer the fastest cash loans to their customers concluded the spokesperson.”

There are many advantages of applying for a quick cash loan. The primary advantage will have to be the time span that one can receive the loan amount in.

What is the success ratio of the accurate concept of loans in an hour like? How to apply for quick cash loans? Learn more about it on the website CashLoansCorner.

About CashLoansCorner is a website that helps people in financial crisis gets the payday loan through the wide network of nationwide approved lenders. The website is run by loan experts and it allows loan seekers to meet the most appropriate lenders in their area.

For more information about CashLoansCorner contact Mary Smith at +91-1244110418 or , CashLoansCorner; 3422 SW 15 Street, Suite #5217, Deerfield Beach, FL 33442.

Distinct variables will rise which could be the source of a hard time for many folks in the course of unforeseen occasions. Choosing some sort of important Fast Cash Advance Loan could be a wise decision to h

Your Lawsuit Is Pending, but You Need Cash in a Flash

Sunday, June 23rd, 2013

“When I was seriously injured in an auto accident, I was unable to work so I had no way to pay the bills. I needed money fast just to avoid eviction from my home. I was ready to accept a low settlement from the insurance company when I heard about lawsuit funding. I am sure glad I did. I received a $2,500 cash advance and settled my case for three times the offer made by the insurance company. I hope never to be in a situation like this again, but if I am, I know where to turn.” – JP

A long legal process can drain an injured victim emotionally and financially, but with lawsuit funding, plaintiffs can stay financially afloat while their attorney fights for the best possible settlement. Lawsuit funding is a cash advance against a pending claim. A finance company will provide funding based on the merits of the case, so the funding company will need case documentation from the plaintiff’s attorney before funding can be approved. Because an applicant’s financial status is not considered in the approval process, employment and credit history do not matter.

Different scenarios may well start that could initiate a hard time for most during acute instances. Taking a suitable required Fast Cash Advances Loan can be quite a strategy to serve folks during the irritat