Are payday loans companies too easy a target for politicians?

Don’t think all those laws regulating payday loans are having an impact on payday lenders? Think again. With a growing number of state legislatures passing new laws regulating the way payday lenders can loan direct deposit money, it’s getting more difficult for these companies to make solid profits. Of course, not many people will feel too sorry for the companies that originate payday loans. These lenders have a bad reputation for charging customers exorbitant fees and outrageous interest rates. Payday lenders don’t exactly make for sympathetic victims. This doesn’t change the fact, though, that many consumers rely on their short-term loans to make it to their next paycheck. If states legislate these companies out of business, it will put additional pressure on these already struggling consumers.

Suffering In Washington, South Carolina

The Kansas Weekly Journal recently ran a story about the drop in revenues that lender MR Woldings, based in Overland, Kansas, has suffered because of new payday lending laws in Washington and South Carolina. According to the story, the company’s revenues in those states were cut nearly in half. Overall, MR Woldings notched revenue of $38.8 million for the first quarter of the year. That compares with $42.5 million for the first quarter of 2019. MR, of course, is far from alone; many payday lenders are struggling to navigate the new payday lending laws that are popping up on a seemingly daily basis across the United States.

Consumer Protection

The laws do have a purpose, though. Legislators have enacted them to protect desperate consumers from high interest rates and fees. This is a worthwhile goal. However, there is a risk in legislating payday lenders too severely. These companies, and the 24h. payday loans they originate, serve as safety nets to many struggling consumers. The companies have become even more important as the national economy continues to slump and unemployment levels remain too high. Many consumers have seen their annual incomes plummet during the days of the Great Recession. For many of these individuals, payday loans are the only way to keep the lights on and the rent paid.

Not Ideal, But Necessary

Payday lenders are an easy target for politicians. They can rail against the high rates they charge. They can accuse them of targeting the poor and the desperate. But no matter how much they bluster, politicians can’t argue that the payday loan hasn’t become a necessity for a growing number of people. Without these loans, desperate consumers will fall into even deeper financial straits. And until the national economy’s recovery brings more jobs to the United States, this isn’t going to change.…

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How to save money on auto loans?

Usually these auto finance companies act as swindlers; they trap inexperienced buyers or the ones who don’t bother to go through loan agreement. Their most recurrent victims are the ones who are anxious to be eligible for an auto loan – whether they are a first-time auto buyer without established credit, or simply have a bad credit history. Their goal in most cases is not to assist someone in actually getting a vehicle that is trustworthy and strengthen the consumer’s future credit; instead they feed on outrageous interest loan lender

We offer you an opportunity to establish or to re-establish your credit in a positive manner. Although these auto loans will be at a higher rate than for consumers with an established/good credit history. They will offer you the ability to safely build a positive credit history and lower interest rates in the future. The following are some helpful tips to avoid these auto-sharks.

Utilizing your home equity
When financing a car, the best way is to tap your home equity to lower your interest payments. Both a home equity line of credit and a home equity loan often provide lower rates than traditional car loans because they are secured against the value of your home. The interest on home-equity credit is also usually tax deductible if you itemize it on your federal tax return.

Look for independent financing
Obtaining financing through an independent lender before you go car shopping can also provide savings. Dealer financing is often more expensive than car loans through banks depending on your credit rating. Sometimes an auto dealer may even make more profit from the financing than from the sale of the car. Many dealers will try to get you to tell them what monthly payment you can afford.

Avoid Zero-Interest loans
Although no-interest car loans sound attractive, they may not be your best bet, particularly if you’re giving up a substantial rebate in return. However, if you take the rebate and finance through a bank at more interest rate, your monthly payment makes you save considerably.

Evaluate Leasing
Leasing started almost decades ago and it’s the popular means of getting the loan currently. This will make you to afford a new car at a lower monthly payment than purchasing the car outright. Since you are not paying the entire purchase price for the car, monthly lease payments are typically less than monthly loan payments.

Watch for lease special packages to get the best deal. But make sure you read the terms of the lease, including whether the advertised monthly payment includes sales tax and fees. Also, you should consider whether you’re paying a larger than average down payment to secure the lower lease rate.…

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