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Thursday, June 30, 2011

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payday loans lenders

Superb quality content. The payday loans discussion is quite better and is effective

cash loan

let all states allow for payday loans. I prefer having these lenders both online and off.

Richard Isacoff

While all of the suggested rules/disclosures in the posting make sense, none will be enacted or implemented. The laws already prevent usury on a state by state basis. No one is enforcing. Disclosures will not deter desparate people from borrowing with the mindset "just until my next paycheck". In fact allof the rules are worthless if there is no enforcement.

The second problem is that most of these companies are off-shore and "immune" from state action directed at them. They will continue to make loans for whatever "rate" or "premium" they can and there is no one to stop them.

The Federal law that would help, although their lobby is too strong, would be

1.to state that after "X" rollovers of the loan, only the original principal amount would be collectable.

2. No direct debits (EFT) will be permissible after 30 days from the 1st advance for any of the loans owed. Financial institutions MUST treat the request from a borrower to her/his "Bank" to stop such Debits shall be treated as a "Stop Payment" and funds allowed debited after such time shall be restored to the account holder's account AT THE BANK'S EXPENSE

3. For those companies that are U.S. based, they must be licensed (similar to the Nat'l Mtge Broker Registry). The lack of a license makes all outstanding loans void - the borrowers keep the funds.

I believe that these few regs which are easily enforced by even a state Court would curtail the problem

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