Crazy as it sounds, and actually in todays world it does not sound crazy at all now that I think of it, there are 9 federal credit unions in this country giving out illegal payday loans, and I want to let everyone know that federal credit union loan help is available.
9 credit unions?
Out of 58 stores 9 may sound like a pretty good number, but the law states that these loans are illegal for federal credit unions to give out period, and these nine have been breaking the law.
In 2010 the law was passed the federal credit unions could not exceed 18% APR on their loans. By calling part of the interest a fee charge these 9 are thinking they are beating the system and getting around the 18% law.
In reality when adding the fee back to the interest where it belongs, a two week $400.00 payday loan would have an APR of 223%. Just a bit over the 18% limit.
What can we do?
Well, one thing we can do is contact the NCUA and let them know you really do not appreciate a company that you own a part of by being a member, breaking the law by screwing you, the customer out of your hard earned money by offering these outrageous payday loans.
We can make a difference if we all stand up and shout! Why can they break the law right out in the open while if any of us ran our businesses this way we would be sitting in jail?
People are taking a stand
The National Consumer Law Center and the Center For responsible Lending are making plenty of noise by starting an awareness campaign to get this kind of behavior to stop. They have many plans in the works to protest this kind of behavior, and I support them wholeheartedly.
People are just getting fed up with this take take attitude. When something is as black and white as this law and then it is ignored or the companies start playing in the grey areas it says alot about what they feel is important to them, and it is not the customers well being.
As long as these payday loans continue to be offered to people, there will be payday loan consolidation companies , helping people take back control of their personal finances.
If you have too much payday loan debt, payday loan help is available, and you can he happy these companies are there. They can save your life when it comes to day to day living and having enough cash to be able to live.
I hope this article helps you become a little more aware of what’s going on in the loan business, and what to avoid.
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