So, what’s your alternative?
July 30, 2010 | Texas, best practices, regulation | Comments (0)Borderzine spends a good third of this article discussing folks finding themselves in need of short-term credit and general credit tightening denying even consumers with good credit scores small-dollar loans that they need between paychecks.
It seems unreasonable then to jump into a criticism of payday advances, the one resource that consumers have for these types of loans. The article is clearly poorly research, asserting that there are few regulations (in Texas, of all places, where there are quite a few) and repeating the cycle of debt argument without bothering to find out about the no cost extended payment plan.
Well, well, well
July 27, 2010 | Texas | Comments (0)An interesting chat log from the Dallas Morning News today. A reporter who’d written a pretty negative story on payday lending answers reader questions and admits, among other things, that PDL is cheaper than many alternatives, that consumers appreciate having the service available, and that the fees are very transparent.
Some noise in Texas
July 15, 2010 | Texas, industry | Comments (1)Of, someone is proposing a 36% rate cap.
Texas alternative
March 23, 2010 | Texas, alternatives, industry | Comments (0)We welcome the competition from these Texas credit unions:
The new product will be launched in participating credit unions on March 30, the league said, after the CUs have trained their staff in how to “sensitively” offer the product.
“Our goal is to keep more money in the hands of the borrower,” said Natasha Melugin, REAL Solutions program director for the Texas league. “Hundreds of payday, auto title and other small predatory lenders litter our streets, preying on financially distressed consumers. These ‘rescue’ loans intended to bailout the borrower in fact keeps them in a vicious debt-cycle.”
Unlike most payday loans available in Texas, the new loan products will carry a much lower interest rate at 18%. The loans will also offer a longer repayment term than other payday loans and require the borrowers to deposit 10% of the loan amount in a savings account.
Longer repayment and other requirements. Not exactly an apples-to-apples “alternative” but good luck to them.
CFPA in “limbo”
February 14, 2010 | Fort Worth Star-Telegram, Texas, industry | Comments (0)I hope that’s the place bad ideas go before they die. From the Fort Worth Star Telegram:
President Barack Obama’s proposal to create a Consumer Financial Protection Agency came in with a bang. But it appears to be going out with a whimper.
All hat, no cattle
February 12, 2010 | Texas, industry, regulation | Comments (0)Not exactly the most apt description of the critics in this article, but since the story was about Texas and I’ve been dying to use that phrase, I seized the opportunity.
Fort Worth & pawn shops
January 28, 2010 | Texas, alternatives, industry | Comments (0)Some leaders there are trying to ease restrictions:
The Fort Worth City Council is considering a proposal that would ease restrictions on pawn shops in the city, but one councilwoman says Cowtown doesn’t need more pawn shops.
As it stands now, pawn shops and payday lenders that go out of business for two years or more cannot reopen in the same location. But a proposal would do away with the two-year rule for pawnshops.
Now that’s a smart city council.
Not a loophole!
January 15, 2010 | Texas, industry | Comments (1)We get tired of these stories. Why do reporters feel that payday lenders have to stick to a strict business model? There are other legal ways to make short-term loans and in many states companies that also make payday loans have chosen to offer other services.
So what?
January 12, 2010 | Texas, industry | Comments (2)I’m really sick of this attack that there are more payday lending stores than McDonald’s. People love McDonald’s. And customers are satisfied with payday loans.
Is charity the only “alternative”?
December 16, 2009 | Texas, alternatives, industry | Comments (0)A United Way chapter is getting into the act.
