This is one of the VERY BEST explanations for ALL the attacks on the payday loan industry!

It was written by Steve Sherman at Human Events. Hate payday loans, or love them, you have to invest 5 minutes of your time. This theme of Washington insiders attacking an industry for machiavellian reasons is MUCH BIGGER than one industry.

“The attack on the “payday lending” industry has been financed by a number of non-profit organizations, the lead attack dog being the Center for Responsible Lending (CRL). Who’s that? Again with the nice, focus group tested, responsible name. They are a group that, you guessed it, does short-term, small dollar lending and would profit immensely by the demise of the current system.”

“CRL describes itself as “a community development lender, credit union, and real estate developer that works with individuals, organizations, and communities traditionally underserved by conventional markets.” CRL’s founder and CEO is Martin Eakes. Eakes’ organizations are seeking to use government intervention to replace the short-term lending industry with his own version of small dollar lending. Sounds like a smoky back room deal to me.”  READ MORE

Another Payday Loan Lawsuit

Are you a payday loan lender? Be aware! You’ve got a target on your back. The bigger we get the more often it makes sense to settle rather than fight these class action payday loan lawsuits. I’ve “been there – done that.”

Three former non-exempt employees sued PLS Financial Solutions of California, Inc. (formerly Payday Loan Store of California, Inc.) and PLS Check Cashers of California, Inc. on behalf of themselves and others and alleged various California Labor Code violations  including, but not limited to:

• Unpaid meal and rest premiums
• Failure to pay all regular and overtime wages
• Unpaid and/or untimely vacation wages
• Waiting time penalties
• Failure to provide and maintain accurate paystubs and civil penalties under the Private Attorney General Act.

After extensive investigation and an exchange of relevant information, the Parties agreed to enter into private mediation to try and resolve the claims.  The Parties attended mediation and thereafter reached the Class Settlement memorialized in the Joint Stipulation of Settlement and Release on file with the Court, and whose terms are generally summarized in this Notice… Click here to read the Settlement in it’s entirety.

You can still profit handsomely in the small dollar credit space BUT you must know what you’re doing. Get all the startup info here: Payday Loan Manual.

Texas Organization of Financial Service Centers

September 2015 Conference