Texas CAB’s, CSO’s and 3rd Party Lender FAQ’s

Texas CAB – Texas CSO- Texas 3rd Party Lender

Texas Credit Access Businesses obtain credit for a consumer from an independent third-party lender in the form of a deferred presentment transaction or a motor vehicle title loan, more commonly referred to as “payday loans” or “title loans.”

In Texas, the actual third-party lender is not licensed, rather the credit access business that serves as the broker is the licensee in this regulated industry. The credit access business charges a fee to the consumer for obtaining the third-party loan; this fee is usually calculated as a percentage of the loan amount.

Third-party lenders typically earn an initial 10% interest and often participate in consumer NSF and late fees; 12% – 14% APR’s are not uncommon.

The borrower will sign a promissory note with the lender for the actual loan and a separate credit service agreement with the credit access business. Generally, all documents are signed at the credit access business location and payments are made directly to the credit access business.

For more Texas CAB – CSO – Third Party Lender informaion: Texas CAB


Payday Loan Lender Preparing for Another Board Meeting

RIICO charges, class action lawsuits, payday loan lender annual conventions, CFPB, state AG’s… what’s a payday loan guy or gal supposed to do? Take a nap next to the boat!

Payday loans

Preparing for another challenging day while enabling average Joe’s and Jill’s to get access to small dollar loans.


Free Tool: Keyword Searches for Payday Loans, Personal Loans & Title Loans

How to start a cash advance businessDo you have a clue what keywords your small dollar loan customer is using to “find” you?

Want a free tool that TELLS YOU EVERYTHING about what your customer is looking for in a loan?

When a payday loan customer needs a fast cash loan, where do they start?

Unless they live around the corner from you, they whip out their phone.

Then what? Got a clue? You THINK maybe they type in “payday loan?”

So… because you THINK they search for “payday loan,” all of your marketing spend should be devoted to “payday loan?” Your signage, your direct mail, your coupons, your sign spinners, your billboards, your car graphic wrap…

How to Start a Loan BusinessWould you like to know FOR SURE what your potential loan customers are searching for to “find” you?

A FREE tool to enable your Team to FOCUS on the mindset of loan customers?

I’ve written about this tool before BUT it’s obvious from the questions I GET EVERY DAY FROM MY CONSULTING CLIENTS that this simple, free tool is still overlooked!

Let me extol the virtues of the Google Trend Tool again.

First, consider this. I’ve been in Europe the past MANY months.

I picked up my mail; FINALLY!

Swear to god, there was over 12 pounds of B.S. loan offers from the likes of Prosper, Lending Club, Capital One, my neighborhood tribe lender, Bank of America, Discover, American Express…

I was “PREAPPROVED for over $250,000,000!  Here’s just a sample:



This Google Trends Chart reveals that during the past year, in the United States, the search loan term “PERSONAL LOAN” was the PREFERRED search term by small dollar loan customers. It wasn’t even close!

  • Payday loan?
  • Installment loan?
  • Title loan?
  • Signature loan?
  • Personal loan?

“Personal loan” WINS HUGELY (Well used President Trump favorite word.)

Now, you should know that as an owner of a payday loan store, a car title loan location, any kind of non-collateralized lender – including Internet based lenders – YOU can narrow this Google Trends too down to your state or province level! This is a really cool tool. Some one on your staff should be using it to determine where and how to spend your marketing and advertising dollars. If your time as an owner/operator was freed up with this keyword search word phrase, maybe you could concentrate on securing a backup bank account, credit card and debit card processor? Check this out: Processing & bank accounts.

Again, THIS TOOL IS FREE! I love free. Don’t you?

Keywords for payday loan, personal loans & car title loans

Keywords for payday loan, personal loans & car title loans

You can easily detect that Google searches for “personal loan” FAR outweighed searches for “payday loan!”

In fact, searches for “title loan” very nearly approached searches for “payday loan.”

Searches for “installment loan” led the bottom of the pack AND yet, that is the very term all the “big boys” like Avant, Enova… highlight in their quarterly financial reports!

You can even filter down by city.

Here’s an example of the top metro/cities for “Payday Loan:”



And, you can filter the Google Trend Tool by Region:



And, by “Related Search Terms” for car title loan lending for example:



You want to know where your next marketing campaign should be focused? You want to know where and how to spend your money? You want to know who your new loan customers could be and what THEY ARE THINKING? Use this tool! Google Trends.

And while you’re at it, get a copy of one of our latest small dollar loan manuals here:

What do you think about this Google Trend Tool? Can it help you?  Let us know what you think in the comments below.

How to Loan Money to the Masses!

How to Loan Money to the Masses!


Payday Loan Franchise?


Scott Tucker Dirty Money Netflix Ep2 Season 1

In October 2017, Scott Tucker was criminally convicted for his billion-dollar payday loan business. On Friday, he was sentenced to 16 years in prison. (Tucker’s attorney, Tim Muir, received 7 years.)

“As a unanimous jury found today, Scott Tucker and Timothy Muir targeted and exploited millions of struggling, everyday Americans by charging them illegally high interest rates on payday loans, as much as 700 percent,” Joon H. Kim, acting Manhattan U.S. Attorney, said in a statement. “Tucker and Muir sought to get away with their crimes by claiming that this $2 billion payday loan business was actually owned and operated by Native American tribes. Scott and his lawyer attempted to portray their Kansas City based AMG services as Native American owned; thereby having sovereign immunity. The jury disagreed.

Tribe payday loan business

Scott Tucker Payday Loan Business – Tribe Lenders

A lawyer for Tucker told said Scott  Tucker intends to appeal. Tucker is also appealing the $1.3 billion fine leveled against him last year by the Federal Trade Commission.

Meanwhile, Tucker is off to prison for 16 years!

The fact is, Scott Tucker’s payday loan business had thousands of returning borrowers! Why? Because they preferred Scott’s online payday loan product to the few options they had for borrowing a few hundred bucks without a hassle.

It’s true that Tucker employed MANY “tricks” and disclosure failures during the course of his customer’s online borrowing transaction. Too bad! Lenders don’t really have to do this. A lender can reveal ALL the costs, terms and transaction details BEFORE the potential borrower actually “signs on the dotted line” and still build a multi-million dollar loan portfolio. Many publicly traded and privately held companies are achieving this as I type here.

Tribal ownership? It appears that Scott Tucker and Timothy Muir accomplished this “after the barn doors were opened!” Their handling of this arrangement appears to have resulted in their mortal death. (They should have consulted with an experienced tribal chairman/manager like Allen Parker at!)

Regarding the payday loan product offering itself, the media ALWAYS fails to disclose that there is more to the 700% interest rate they ALWAYS refer to than first meets the eye. This is an annualized interest rate required to be disclosed by the lender to a customer by the FED’s. By now, everyone knows that these loans aren’t meant to be rolled over every 2 weeks for years! They are scheduled to be paid off on the borrower’s next payday. You borrow $300 and payback $345. No big deal IF you have zero options and you want  a fast loan!

Scott Tucker screwed up! But of course, that’s easy for the rest of us to conclude having the benefit of hindsight! Tucker was a maverick; blazing new trails. As he says in the Netflix “Dirty Money,” Episode 2 treatise on his business, “There was no road map.”



CFPB Drops Suit against 4 Payday Loan Tribes

The CFPB continues to capitulate in the payday loan space!

President Trump and acting director Mick Mulvaney have had an astoundingly positive influence on the outlook for payday lending and the upbeat environment for US households as well.

Previously, the CFPB received an astounding 1,000,000,000+ comments from US consumers “praying” for continued access to payday loans and other small dollar loan products.

These consumer comments in the form of electronic and hand written communications fell on deaf ears at the CFPB.

The CFPB ignored them. Additionally, the CFPB ignored the payday loan industry, their employees, vendors and pro-payday loan legislators throughout the USA – of whom there are many.

This continued attack of a lawful industry became further weakened today by the announcement that the CFPB is dropping all lawsuits against 4 payday loan tribal lenders!


The reason the CFPB threw in the towel? They want to ” consult with new leadership” at the CFPB  🙂

Before Hon. Julie A. Robinson, the FED’s filed a “Notice of Voluntary Dismissal” against the four lenders owned and operated by the Habematolel Pomo of Upper Lake.


[Sponsor: Need a bank account for your MSB or lending business? Want to “push” loan funds to a consumer’s phone? Need ACH, credit card or debit card process? Need a second “backup” enabling your Team to sleep at night? Get an introduction here: Click “PROCESSING.”

Recall that last October, under the lead of former Director Richard Cordray, the CFPB had intended to implement new rules requiring all lenders to make a determination as to the borrower’s ability to repay the loan.

This would have caused massive disruption; after all, the typical payday loan is less than $400! How on earth coild a lender be expected to analyize ther loan applicant’s personal income, household and expense situation? Most of these folks are simply caught in a temporary financial emergency; utilities turned off, car repair, prescription needed…

For many LONG months, the payday and car title loan industry has been expecting overly aggressive CFPB rules to be implemented.

Today? These expectations are at an end! President Trump’s administration has delivered a HUGE dose of common sense to “the business of lending money to the masses.”

[As a result, our inbound phone calls and emails for consulting, capital raises, bank accounts, credit and debit card processing and “$$ push to borrowers” is escalating dramatically!]

These are proving to be VERY GOOD TIMES for US households and lenders! It’s been such a LONG time that we’ve had a sense of optimism and entrepreneurship in America.


Here’s the announcement from the CFPB regarding the 4 tribes: