Let me make it clear about Safeguards Needed

Let me make it clear about Safeguards Needed

As this report illustrates, payday and title lenders prey in the many vulnerable Alabamians, trapping them in a nightmarish period of financial obligation if they currently face economic stress. They typically run in low-income areas and appeal naive borrowers with ads providing quick access to money. They target down-on-their-luck customers that have little capability to spend down their loans but who trust, wrongly, that lenders are at the mercy of laws that protect customers from usurious prices and unjust methods.

These predatory loan providers haven’t any motivation to do something as being a lender that is responsible. They will have shown no want to evaluate borrowers’ ability to cover; to encourage customers to borrow just whatever they are able to afford; to describe loan terms in detail; to increase loan terms to encourage repayment that is on-time of rollovers; or even to provide monetary training or cost savings programs with the loan. Read more