Virginia Partnership to Encourage Responsible Lending

Mark Fiore Animation: "Credit Reform"

Tue, 03 Nov 2009 12:20:00 EST

You want credit reform? Try this credit reform, now with amazing mandatory offers and a credit company protection plan!

Predatory lenders sound deluded

Thu, 22 Oct 2009 09:38:00 EDT

Jay Speer at the Virginia Poverty Law Center notes that payday lenders are now wiggling away from strict payday loans and into line-of-credit and car title loans, which are unaffected by the new restrictions. "To these 'lenders' the law is merely something you need to figure out how to evade," Speer wrote in last week's paper.

Predatory lending letter to the editor

Fri, 16 Oct 2009 09:58:00 EDT

We talk to a new victim of predatory lending almost every day, but almost none of the people calling is calling about payday loans anymore. They are calling about car title loans and line-of-credit loans. Who is making these loans? The current and former payday lenders like Advance America.

Franklin Co. man falls prey to payday lending loophole

Wed, 14 Oct 2009 09:45:00 EDT

Hall's recently learned his lender raised the interest from roughly 120 to 180 percent even though he's been paying the minimum and on time. A practice perfectly legal.

Payday lender to settle with Virginia for $85,000

Wed, 07 Oct 2009 10:44:00 EDT

But Leech said the settlement payment was a small amount for Advance America. It made a $38 million profit on revenue of $676 million from its operations in the U.S., Canada and Britain last year.

Disturbing silence on predatory loans

Fri, 02 Oct 2009 10:23:00 EDT

Individual members of the Virginia Legislative Black Caucus have been bold advocates for curbs on predatory lending, but it's disappointing to see that the group as a whole remains bashful about confronting the scurrilous and destructive industry.

Credit unions help strapped state employees

Thu, 03 Sep 2009 11:51:00 EDT

The loans are meant to prevent state workers with poor credit histories from turning to predatory payday lenders, who might charge an interest rate of 300 percent or higher and pile on late fees, which the program doesn't do.

Bank Overdraft Fees Rising

Tue, 25 Aug 2009 09:37:00 EDT

VaPERL's Dana Wiggins discusses overdraft fees on NBC 12.

Kaine Notes Success of Employee Loan Program

Fri, 14 Aug 2009 15:24:00 EDT

"I believe the early success of this pilot program clearly demonstrates that there is a need for these types of loans. More importantly, it allows state employees the opportunity to receive small loans without having to go to predatory lenders," says Kaine. "The success of this program demonstrates that other large employers can implement similar initiatives as a service to their own employees."

Predatory lenders try to stay a step ahead

Sun, 09 Aug 2009 13:00:00 EDT

Even if the proposed regulations survive that challenge, the Bureau can only do so much. The real solution to the problem must come from the legislature in the form of a 36 percent cap on interest rates for all small consumer loans.

Reform needed on loans for working class

Fri, 07 Aug 2009 19:00:00 EDT

This legalized usury is a disgrace to our great state, and the legislators who protect this predatory industry need to be sent a message that Virginia voters want reform and we want it in the next session of the General Assembly.

Predatory Lenders Find Loophole in New Lending Law

Thu, 30 Jul 2009 10:22:00 EDT

The new predatory lending law doesn't limit interest rates on open-ended loans. The only regulation on open-ended loans is a 25-day grace period for the first payment.

Driving Virginians into a Ditch of Debt: The Facts About Car Title Lending in the Commonwealth

Thu, 16 Jul 2009 13:35:00 EST

There is no good reason why any lender should be permitted to charge 300% interest on a secured loan. No borrower that wasn't desperate or tricked into it would pay it, no scrupulous lender would demand it, and no unscrupulous lender should be allowed to exploit a borrower's circumstances to charge it.

Car Title Loans and Another Assembly Study

Thu, 16 Jul 2009 10:23:00 EST

The most obvious solution to bring the predatory loan practice under control would be to cap the interest rate on the loans at 36 percent annually. But the legislators put off the issue for further study this summer.

Predatory lending made easy

Tue, 14 Jul 2009 09:55:00 EST

You see, car title loans are still legal in Virginia. And so are open-ended consumer loans. And get this: There is no interest rate cap on either.

Eligible Virginia Employees Will Get $100-$500 Loans

Mon, 13 Jul 2009 12:11:00 EST

"This program will allow our state employees to receive small loans without having to go to predatory lenders," Governor Kaine said. "If the Commonwealth can offer this kind of program, other large employers may consider similar initiatives of their own."

Va. to offer short-term lending program for state employees

Mon, 13 Jul 2009 09:47:00 EST

"It's a way to help out people who need money in a hurry so they don't have to go to outside lenders," said Kaine press secretary Gordon Hickey. The state has about 100,000 employees.

Phantom Demand: Short-term due date generates need for repeat payday loans, accounting for 76% of total volume

Thu, 09 Jul 2009 16:00:00 EST

Repeat borrowing of what is marketed as a short-term loan of a few hundred dollars has long been documented, but this report verifies for the first time how quickly most payday lending customers must turn around and re-borrow after paying off their previous loan.

Lawmakers need to get tough on payday lenders

Wed, 08 Jul 2009 12:34:56 EST

But now payday lenders are getting around the new law by offering other high-interest loans, such as car title loans. Borrowers hand over the title to their vehicle to secure a loan for up to half the car's value. If they fall behind, the lender can take the car.

Lawmakers target car title loans

Mon, 29 Jun 2009 15:42:00 EST

Car title lenders operate under the state's open-end credit law, which allows them to impose whatever loans terms they want as long they do not charge anything during the first 25 days.

Reforms Take a Toll on State Payday Firms

Wed, 24 Jun 2009 15:23:00 EST

The General Assembly has nibbled away at the payday loans in recent years, but has failed to take the step that would put them on the same playing field with other financial institutions that loan money on a short-term basis to those who need it. That step, of course, is the 36 percent interest rate cap on an annual basis -- the same cap that applies to other lending institutions.

With new Va. reforms, payday loans plummet

Mon, 22 Jun 2009 19:00:00 EST

"It's definitely good news and bad news," said James W. Speer, executive director of the Virginia Poverty Law Center. "The good news is that there are less payday loans. The bad news is that they just shifted to cartitle lending."

A Borrower's Guide to Virginia's Payday Loan Law - Your Rights

Tue, 16 Jun 2009 10:28:00 EST

Ten important facts to keep in mind if you have taken out a payday loan or are considering it.

Loan-Shark Lenders Have Date With Hangman

Thu, 04 Jun 2009 11:34:00 EST

Now, maybe, borrowers might catch a break. There is serious talk in Congress and the White House about creating a Financial Products Safety Commission, charged with protecting consumers and the country from the depredations of irresponsible lending.

Road to Ruin: Online Lenders Fight Regulation

Tue, 02 Jun 2009 16:28:00 EST

Recently some states have passed laws limiting interest rates, but there is one marketplace that knows no borders -- the Internet.