Tag: payday loans

21
Mar

Jer Ayles-Ayler Trihouse on the Road with Payday Loans & More

Posted by / Offshore

Sorry everyone! I’ve been “on the road” the past MANY days. It started with the annual CFSA Payday Loan Convention in Hollywood, Florida. Then, I visited clients in Miami, Orlando, Key West (Thanks Steve! That was FUN!), Atlanta, Nashville, Clarksville and finally the 25th Annual Reservation Economic Summit (RES 2011) & American Indian Business Trade Fair in Las Vegas.

Man, The Sovereign Nation payday loan model is HOT! After that Wall Street Journal article, a lot of Tribe’s are wondering, “Why aren’t we doing this?” Looks like more will be…

The Payday Loan Offshore Model is making more and more sense as well. More than few significant players are entering this space.

I’ve got a LOT of comments and insight in AFS (payday loans, check cashing, currency exchange, money transfer, car title loans, tax refunds…) products and services coming so stay tuned!

Jer@PaydayLoanIndustryBlog.com

702-889-9555

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16
Jun

Arizona Payday Loan Laws and Legislation

Posted by / Uncategorized

Payday lenders in Arizona are reviewing creative methods to remain in business after the June 30, 2010 ban of the payday loan industry.

Payday loan lending businesses are now prohibited from operating in the state and, as a result, many Arizona payday loan lenders are considering converting to car title or auto-title loans and check cashing operations, which may be legal under Arizona law. Payday loan lawyers and compliance experts are researching these business models now.

Our clients and others are weighing the advantages and feasibility of switching to car title or auto title loans in order to continue to serve their customers. Demand for simple, no-hassle, minimum documentation micro-lending products remains huge! Unfortuately, Arizona Regulators fail to realize this demand. So, the Regulators simply outlawed payday loans leaving thousands of Arizonan’s without access to $300 to $1500 loans.  Check cashing services have also grown amid tighter state regulations.

The payday loan industry faces increased regulations from many states. Payday loan lenders narrowly escaped the financial regulatory reform bill, which would have required federal oversight of the payday loan industry. Millions of consumers through out the country welcomed this development as their ability to choose the payday loan product to solve short-term financial problems is a high priority.

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08
May

Colorado Payday Loans & Laws

Posted by / Colorado Payday Loans
Colorado Payday Loan Store

Colorado Payday Loan Store

Residents of Colorado are about to have restrictions placed on their ability to use payday loan products to solve their temporary financial challenges. A Democratic sponsored bill (there they go again) was sent to the Colorado Governor for his signature Tuesday.

The House backed a new version of the bill by one vote. It changes short-term payday loans – with typical terms of just a week or two until the borrower’s next payday – into six-month loans.

Lenders would still be able to charge a $75 origination fee as well as monthly fees up to $30 and up to 45 percent in interest, but consumers have more flexibility with repayment plans.

In essence, the new bill if passed, will allow the payday loan product to continue to exist in Colorado but, with the extended repayment plan available to consumers, may reduce the number of brick-n-mortars existing in the state. There is little doubt that the payday loan Internet companies will address this new situation aggressively.

Too bad; if only the legislators and regulators would realize that by placing more and more restrictions on ALL financial products, they limit consumer access to a spectrum of products at competitive rates.

There is little doubt by payday loan industry pundits that this Colorado legislation was pushed hard by the banks and credit unions. They desire payday loan consumers because they’re lucrative having jobs and bank accounts. After all, lacking these characteristics precludes consumers from using payday loans to solve their financial problems in the first place.

And as usual during discussions of this bill, the media resorted to their typical misstatements regarding the payday loan industry; poorly regulated, no disclosure of fees and rates, consumer difficulty in understanding the payday loan product. All completely wrong of course! In every independent study done on this subject consumers have consistently stated their appreciation for industry disclosure, ease of use, and speed of negotiating through the paper work; unlike banks and credit unions and installment lenders and on and on.

The bill CO H.B. 1351 would require lenders to make loans for six months at a time. Additionally,  and to give borrowers the flexibility to repay earlier. Lenders would still be able to charge a $75 origination fee in the first month followed by monthly fees of $7.50 per $100 borrowed – up to a maximum of $30 – and up to 45 percent annual interest. Under those terms, a borrower would pay $337.50 to borrow $500 if they waited until the end of six months to pay.

The government has done such a wonderful job in the past of dictating every aspect of our lives. Now we let them dictate where we can borrow a few hundred dollars. This makes me ill!

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16
Mar

Time to Use the Power of Text in Marketing and Collections for Payday Loan, Car Title…

Posted by / payday loan collections, Payday Loan Marketing, Uncategorized

It’s time to use the Power of Text in Marketing and Collections for Payday Loan, Car Title, Check Cashers, Pawn & More

Here is the how and why Text Messaging can help your Collection efforts INCREASE up to 25% or more and your payment defaults DECREASE by about 40%, as well as generate new leads and create repeat customers.

Our payday loan customers are inundated with “noise” from competitors and others screaming at them for their attention. Print, radio, TV, email, direct mail, billboards, phone calls, magazines… on and on and on. Every company in the micro-lending space is focused on our customer.

Now, it’s “Text Messaging” referred to as SMS. The explosion of cell phone use has brought the newest marketing and collection channel to us.

Personal cell phone use has become essential to virtually EVERYONE. All of us rely on our mobile device!

Mobile text messaging can connect you to your customer. Mobile text messaging offers a powerful alternative to all the other marketing strategies.

Those of us in the micro-lending space, that includes payday loans, car title lending, scrap gold buying, check cashing, rapid tax refunds, etc., must enter this mobile marketing and mobile collecting arena to communicate with our customers immediately.

The heaviest users of SMS are ages 18-34 at 80% and 35 -49 at 63%. Those are our demographics! 97% of all text messages are read!

So, what’s this all mean to us? INSTANT COMMUNICATION! SMS dwarfs all other features on a cell phone today!!

Reach your customer anytime and anywhere, with the Power of Text.

Why is Text Messaging SMS so successful?
More than 265 MILLION Mobile Phone Users
Easy to use
Available on 99% of all cell phones
Cheap
Instantaneous
Everyone has a phone
Direct link to your customer
Able to launch a web page
Specifically target messages to your customer
Messages to your customer are permission based; CAN-SPAM Compliant
Your customer can act on your message instantly
Present your customer with a coupon
Remind them of a payment due
Contest announcements
Announcements of sales, promotions and events

Additionally…

Text messaging is personal
Cell phone users keep their phones with them ALL THE TIME
90% of Text Messages are read within 8 MINUTES!
Bulk SMS is economical and you can send thousands of text messages to consumers at wholesale rates
One SMS message can be created and sent to a large group of customers
Tracking of SMS delivery and customer response is simple

It’s not uncommon to improve your collection efforts 25% or more by using SMS

A 40% increase in “on-time” payments is possible by using SMS to notify customers of their upcoming payments and appointments.

Transparent integration with your software is easy or you can use a web-based gateway.

Are you ready for more info to learn how you can get instantaneous communication with your customer AND increase your collection results?

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15
Mar

Payday Loans – Consumer Federation of America Wake-Up!

Posted by / Uncategorized

The CFA, Consumer Federation of America, continues to misstate facts surrounding the payday loan industry. It’s intentional and unfair. They are a “non-profit” organization whose sole purpose is to place limits on Americans and reduce their financial choices.

The Consumer Federation of America CFA thinks they know what’s best for the rest of us and is composed of a well-funded group of elitists.

A great example of this occurred when Rep. Luis Gutierrez, speaking to CFA President Jean Fox at a House Financial Services Subcommittee on Financial Institutions and Consumer Credit said, “If you wish to be against the bill because you wish us to do nothing other than eliminate payday lending, which anyone reading your statement can extrapolate…that’s not possible.”

CFA President Jean Fox was asked several times by both Democrats and Republicans to offer an alternative to short term, non-collateralized lending. She had nothing to offer. The Consumer Federation of America is simply AGAINST!

Too bad the Consumer Federation of America doesn’t make an effort to understand why consumers by the millions use payday loans and what criteria payday loan businesses implement to determine if a consumer qualifies for a payday loan.

A recent “Position Paper” offered by CFA erroneously makes the point of stating that, “Given the lower bank account penetration rate for minority consumers,  this payday loan product undermines progress being made to unbanked consumers into mainstream financial services.”

Consumer Federation of America WAKE-UP! Educate yourselves first!! Payday loan consumers MUST HAVE BANK ACCOUNTS TO QUALIFY FOR A PAYDAY LOAN! Of course they must have a job also in order to pay us back.

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How to Start or Improve a Consumer Loan Business: Storefront or Internet anywhere!

How to Start or Improve a Consumer Loan Business: Storefront or Internet anywhere!

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