Oct 22

HIGH COST PAYDAY LOANS ADVERTISE EVERYWHERE

The payday loans can be tempting. Ads that promise money to “be struck until next payday” appear in places where checks are changed at pawnshops in the classified and are increasing over the Internet. Cyberspace is the new frontier of marketing for payday loans with lenders based on your check and promoting their services through pop-up ads (pop-ups), unwanted emails and websites . Since these services “cash until payday” appear to be of great benefit, consumers should know the risks. The cash-strapped consumers can become mired in an endless cycle of repetitive loans to extremely high costs.

 

Smaller loans, short-term, high interest are managed under a variety of names: payday loans, cash in advance (cash advance loans) on checks in advance (check advance loans) , pre dated check (post-dated check loans) or deferred deposit check (deferred deposit check loans). To obtain these loans from commercial lenders, a consumer writes a check payable to the lender for the amount that you want the first pay plus a fee. The lender gives the borrower the amount of the check minus a fee, then he gets the check until your next payday, when the borrower can do one of three things: allow the check charge, paying picked effective loan or lengthen the fee, paying the fee and extending the loan for two or more weeks.

 

If the borrower decides to apply for a loan with an online lender, the loan is applied through the network and the funds are delivered and collected through an electronic transfer of funds between the lender and the borrower’s bank account. The loan is based on electronic access to the borrower’s bank account.

 

Because borrowers should have a bank account and a well-established source of income or benefits in order to qualify for these loans, lenders usually do not perform conventional credit checks. Some borrowers have complained to the Better Business Bureau that lenders have been asked to issue checks for deposit and then use them to force them to extend the loan. Refinancing loans percentages and charging excessive fees called “loan flipping” is a practice that can trap vulnerable consumers who are heavily indebted.

 

Under the federal Truth in Lending (The Truth in Lending Act) must be known the cost of payday loans like other types of credit. A consumer must receive written, among other information, the financial cost (a dollar amount) and the annual percentage rate or APR (the cost of credit based on one year). Finance charges can range from $ 15 to $ 30 per $ 100 borrowed. This may not seem a lot of money until you see the APR of the loan. A credit industry survey revealed that the average APR for a payday loan was 300%. A recent report from the Missouri Department of Finance found that the average interest in the state was 408%!

 

The payday loans are made over the Internet can be especially problematic according to a study by the Consumer Federation of America released in November 2004. Consumers are encouraged to apply and receive loan funds that are deposited in their banks through a night service, filling applications through the network and / or sending the application and related documents by fax. Besides the high cost of credit that may be known openly, the study found that consumers who requested a payday loan online, faced the following challenges:

 

It may be difficult or impossible to locate or contact the lenders. Some hide under logs or anonymous sites on the Internet or can be located outside the United States. The borrower may have trouble communicating with the lenders of the network for any questions you may have or to resolve any issues that may arise.

It may be that being located in states with lax laws, Internet lenders ignore state usury laws and consumer protection.

By filling out loan applications online, the borrower may be exposed to privacy and security risks if the lender fails to comply with the strict privacy policies or the web site is not safe.

Better Business Bureau along with the Federal Trade Commission advises consumers to consider other options before deciding to apply for a payday loan:

If you need money, compare carefully. Consider a small loan from your credit union or company, a cash advance from your employer or a loan from a relative or friend.

Ask your creditors a bit of time to pay their bills. See if they will charge for that service as a late payment fee, a finance charge or a higher interest rate.

If you need help on a debt refinancing plan with creditors or to implement its budget contact service consumer credit counseling in your area. There are some nonprofit groups that offer credit counseling to consumers at little or no cost.

Finally, contact your local Better Business Bureau for information about any lender with whom you are considering doing some business

Oct 22

Payday Loans

The payday loans are not the only option available for people facing an economic emergency. Yes there are several options available that can help you saved your money and avoid the trap of debt associated with such lending.

Alternatives to payday loans start with a savings account, an advance payment of the company where he works, a loan from a traditional financial institution or even credit cards. But before you try any of these options, you can also try to talk to the company you should ask for your payment and a repayment plan or at least more time to pay the bill. If that does not work, ask for help from family, friends, church or nonprofit organization in your area. If even after all these alternatives still have to take out a loan, consider these tips to avoid predatory lending:

A short-term loan responsible for it should be less than a period of 90 days or more and the ability to pay it in slowly.

The loan guarantee should not be your checking or somewhat unfair as your car.

The loan must have reasonable limits on the number of times you can renew it. (If you need to renew the loan over four times during the year, the reality is that this loan is not helping)

The lender must take into account that you do may or may not pay off the loan over the period set before giving the loan.

The contract should not have forced closures arbitration. You deserve the opportunity and the right to take your complaint against the lender to a judge in court.

 

In many cases, the source of financial need has more to do with long-term factors that immediate need. In such a case, it is best to consult a credit counselor and establish a long-term economic plan to get loan after loan. To find a counselor in your area contact the National Foundation for Credit Counseling 1-888-682-9832. To learn how to choose a credit counselor, you can read this article from the Federal Trade Commission.

If a payday loans is simply the only solution available to you, try starting your search with a traditional financial institution in your area as a credit union or bank. The truth is that all of these alternatives will be much better over a payday loan with an interest rate of 400% which will leave more awash in debt. The easy way is to search online.

Oct 21

Designing Personalized Cards

There is a lot of thought that goes into the cards and letters that are sent out to friends and relatives during special times. It doesn’t matter if you are trying to come up with cute Christmas cards or baby shower thank yous, you would want to choose a service that is able to design those cards properly and then to print them professionally. Although there certainly are many different things that need to be kept in mind in this regard, here are a few to help make them both unique and professional. It is certain that once they receive the cards, they will remember the event and you as an individual.

One of the first things that you need to think about is the uniqueness of the card. To be certain, there is a lot more to be said for unique thank you cards than for something that is simply purchased off of the rack (Source: unique thank you cards by PosePrints). Of course, either is going to allow you to get the message across to the individual that was kind to you in the first place. When you get something that was unique, however, it allows them to know that you have put a little bit more thought and effort into thanking them for their kindness. Another thing that needs to be considered is the professionalism with which the card was designed. You may have a few different ideas that are available for those that are designing the cards but it is likely that they will be able to fill it in with their own personal flair that will give it a special touch.