Know thy enemy. If you don’t, you can’t fight effectively. And, make no mistake, this is the fight of our lives. Because our enemy – self proclaimed consumer protectionists and regulators – want to destroy us.
You’ve got to read this book! The man who funded PEW and The CRL (Center for Responsible Lending) – two of our most egregious critics – made $450 million dollars making “liar loans” and sub-prime mortgages before exiting the mortgage industry! Payday lenders, title loan lenders, small dollar credit lenders… anyone who wants to gain serious insight into who is really funding our attackers must invest the time to digest this book. “A new wave of financial reformers has infiltrated our public institutions at both the state and national levels. A growing army of self-proclaimed activists, philanthropists, and politicians has infiltrated not only the Consumer Financial Protection Bureau, but the FDIC, the Treasury, and other regulatory agencies. This explosive new book from New York Times bestselling author Jay W. Richards reveals the truth…”
I’ve been a lender since 1997. I’ve written a lot about these issues BUT I learned a lot by reading “Infiltrated.” Jay Richards, the author, does a phenominal job of disclosing the agenda of people like Martin Eakes and several other characters we’ve all come to despise. I Highly recommend”Infiltarted!” Read it!
Disclosure: This is an Amazon affiliate link. If you like, just visit Amazon and search for “Infiltrated.”
Richard Cordray with the CFPB stated, “Our investigation found that for three years First Investors had a flawed computer system – purchased from a vendor – that provided inaccurate information to credit reporting agencies. When First Investors discovered the problem in April 2011, it notified the vendor but did nothing more. The company did not replace the system or take any steps to correct the inaccurate information it had supplied. Instead, it simply continued for years to use a system that it knew was flawed.”
“There were all kinds of inaccuracies reported by First Investors. The company frequently understated how much consumers were paying toward their debt. It overstated the amount past due. It misreported the dates when consumers became delinquent. And it inflated the number of delinquent payments… READ MORE
Nope! It’s not compliance, regulation or the CFPB. You’ve seen this coming since the day you got into this game. Game changing rules are a fact of life as a money lender.
Wrong! It’s not John Oliver’s Last Week Tonight Show laugh your ass off satire on the payday loan industry. Even John had to admit that nearly 50% of your customers are happy you’re here.
Nah! It’s not the 1200%+ APR’s you charge your borrowers. Even the CRL admits behind closed doors that money cannot be loaned at 36% unless it’s subsidized by tax payers.
Zilch again! It’s not the ACH debacle that sent you scurrying for Rolaids last October.
Uh-uh. It’s not the loss of your bank account, stored value cards, kiosks, “Operation Choke Point” or any of the other arrows, bullets, grenades and drones you’re having nightmares about.
Give up? Ok, before I tip my hand, think about the problem you’re trying to solve. Think about the pain your customer is experiencing daily. Your customer wants access to money fast and easy. No hoops to jump through. No “financial education” course. She wants minimal paperwork and hassle.
Your customer wants, needs and is literally begging for small dollar credit NOW!
Smart lenders focus on reducing the “friction.”
Borrower behavior has changed. The 1% can regulate a LOT of things but they can’t successfully regulate consumer behavior. Eventually, regulators have to recognize and embrace reality or risk revolution. Think marijuana, alcohol, drugs, prostitution, money lending…
Google, Amazon, Uber, and iTunes changed the way consumers behave.
The phone is the HUB!
A generational shift is occurring now. The phone is the HUB! Smart phones reduce the “friction” in financial services. The Kindle changed the way people buy books. Smart phones are changing the way consumers borrow money.
You need an example? Here’s a simple one:
- Whip out your phone. Type automobilepawn.com/ in your web browser. Take a close look.
- Now, visit AutomobilePawn.com on your iPad, desk top or laptop computer.
- Whip out your phone. Open your web browser and type in “AceCashExpress.com.” Take a CLOSE look at the website.
- Now, use your desktop, laptop or iPad and repeat this step; AceCashExpress.com . See the difference? It’s MAJOR!
Both AutomobilePawn.com and AceCash.com recognize the device used to visit their website. It’s automatic.
The difference is immediate! Using their phone, a borrower can simply click a button and apply for a loan, get directions, send a text or email message, make an appointment or share the website with friends and family members in need.
The SMART PHONE is the REAL game changer in the Small Dollar Credit (SDC) space! The rest is all noise.
Your task is to reduce the “friction” in lending. Figure this out and you can earn a higher ROI lending money than in any other industry AND survive the slings and arrows headed your direction.
How does your business “look” on YOUR customer’s phone?
Here’s an inexpensive solution: EZMobileToday.com
PAYDAY LOAN COLLECTIONS / CUSTOMER SERVICE ADVISORS
Due to our expansion we are looking to recruit a number of Collections / Customer Service Advisors to join us as Collection Account Managers and help support our growth in our Head Office in Nottingham.
Speedy Cash is a leading financial services provider offering personal loans, Cheque Cashing, Money Transfers and Cash for Gold. As a leading Payday Loan Lender in the USA since 1997, we are different and our customers know we’re different. We pride ourselves in offering the kind of service & respect you just won’t find elsewhere.
As our Collections Account Manager you will Continue Reading >>
“I will offer a few examples of the damage that Operation Choke Point has already done to the short-term credit industry. One lender, Advance America, has lost longstanding and positive business relationships with at least nine banks as a result of Operation Choke Point. Hancock Bank and Whitney Bank informed Advance America of their intention to close its accounts on the ground that they were “unable to effectively manage [the lenders'] Account(s) on a level consistent with the heightened scrutiny required by [their] regulators . . . .” Fifth Third Bank wrote that it would stop doing business with short-term credit providers altogether on the ground that the entire industry is “outside of [its] risk tolerance.” Synovus Bank and Umpqua Bank likewise terminated Advance America’s accounts. At least two of Advance America’s banks expressed regret and explained that the service terminations were the result of pressure from their prudential regulator. Cadence Bank also terminated Advance America’s accounts without explanation. Advance America has not been able to find local banks to service certain stores that were affected by the terminations; many of the banks it contacted for that purpose had decided to exit the short-term small-dollar industry entirely due to regulatory pressure. No bank expressed a concern about Advance America; every bank based its determination on a sweeping judgment of the industry as a whole, an irrational judgment they were compelled to make by their regulator.”
“Another CFSA member, Cash Tyme, has received termination notices for its accounts at Continue Reading >>