First, The New York Times blasts the banks for aiding payday loan companies via the ACH system. Next, a highly regarded consultant (Serge Milman) for banks and credit unions suggests “Same-Day ACH” as a “method for banks and credit unions to increase their margins and offer better customer service.” The Fed’s are looking into all of these incestuous relationships… The tribe “sovereign nation model” is coming on stronger than ever. And in spite of all this, offshore capital and their banks want a piece of the U.S. domestic small dollar loan market. (I know, I get the calls.) VERY interesting times ahead for those of us willing to enter the treacherous consumer loan industry.
Meanwhile, “same-day” ACH technologies are here! Internet lenders and store operators are making loan proceeds instantly available to their borrowers 27/7, including Saturday’s and Sunday’s.