Tag Archive | Payday loans

CFPB: A Potential Danger Not Only to Payday Loans but to Every American Citizen

Not many Americans are aware of the Consumer Financial Protection Bureau. That is indeed a scary notion for the American citizens because the federal agency which was established in 2010 is slowly trying to take control of their lives by hitting them where it hurts the most – their wallets. The federal agency’s unreasonable fight against helpful financial products like payday loans and their providers, the payday moneylenders has already financially hurt millions of underprivileged American citizens, who are not considered worthy enough for a membership in the traditional banks –  the major defaulters behind the financial collapse of 2008, ironically one of the reasons behind the inception of the Consumer Financial Protection Bureau.

People need to be aware of the fact that the federal bureau which has been publicized as. ‘the watchdog of American Economic practices’ is actually more than a mere watchdog. It is an agency which holds the most power and minimal accountability. It is the first time in the history of Washington bureaucracy that such a level of unquestionable authority and power had been meted out to one organization. One could argue that it serves as a picture-perfect illustration of the political left’s treacherous belief that the ends at all times validate the means.unsecured-loans-can-be-easily-obtained-through-payday-lenders-direct-6516

The federal agency did actually start off as an organization with an imperative mission. But it was strategically and quite conveniently designed by Democrats to dodge checks and balances. No other regulatory agency in the history of the country has held such allowances, even the ones who are accountable for consumer and investor safety. The strange, unique and faulty design is precisely why a panel of three federal judges declared that the Consumer Financial Protection Bureau is organizationally unconstitutional.

In its current arrangement, the federal agency is an insult to the Constitution. It is an affront to checks and balances and any other due procedure. That is why there has been a roaring support for the Financial CHOICE Act. This act can vicissitude the Consumer Financial Protection Bureau from an unconstitutional and in many ways un-American agency of non-elected officials into a constitutional and responsible civil administration agency that imposes consumer protection regulations developed by the Congress.

The Consumer Financial Protection Bureau’s present director, Richard Cordray, irresponsibly disregards the due procedure protections that have always been profoundly entrenched in our country’s legal system ever since it gained independence in 1786. This exploitation may produce headlines, but it might ultimately fail to attain justice. The Dodd-Frank Act gives the highly controversial director extremely wide-ranging powers to control consumer credit goods, still, Cordray continually ignores the law and the resolve of Congress by tip toeing around existing laws.

In the court’s verdict that stated that the Consumer Financial Protection Bureau’s structure was unconstitutional, the judges discovered that Cordray singly re-explained the law and then fundamentally shaped his personal law. Adding to that, the court also stated that Cordray had overlooked the ruling of restrictions to rationalize imposing an enormous penalty on an American corporation. This is a disgraceful defilement of due procedure rights.

In this argument, it must be remembered that rightful consumer protection places control in the hands of citizens, not well-off Washington officials and bureaucrats. Rightful consumer protection encourages competition and options, ensuring that every consumer has an access to honest and advanced markets that are dynamically regulated for scams and trickery. The Financial CHOICE Act holds the hardest penalties in for anyone committing financial scams, anyone caught engaging in insider trading or other forms of deception. Unlike the CFPB, it doesn’t aim to abolish helpful products like payday loans, but it aims to catch the real perpetrators.

Mr. Cordray, It’s Time to Step Down to Let Payday Loans Online Providers Breathe

CFPB or the Consumer Financial Protection Bureau is a controversial agency and continues to remain polarizing. The US Court of Appeals for the District of Columbia recently declared that the structure of 1 director followed by the bureau is unconstitutional. In light of the criticisms and the voters’ desire for a modification of the status quo, CFPB need to refrain from pushing regulations about payday loans online providers before the president’s enters his office.cfpb

It is common trend for federal agencies to implement some last-minute regulations when a new administration takes over the government. These regulations are usually rushed and supported by low quality assessment of the benefits and expenses. Since CFPB’s regulation can influence the financial well-being of tens and thousands of Americans, they should take time and act in good faith.

For instance, the proposed regulations on payday lending and arbitration have sparked a lot of public interest. 1.4 million comments have been received by the payday rule, which ranges from legal and economic analysis to people’s personal stories about how they quite terrified about losing access to important products and services.

The CFPB needs some time to carefully consider and reply to genuine concerns highlighted by the commenters. The staff of the bureau will really need to work 24/7 to be able to sift through, review and analyze the 1.4 million comments internally before the new administration takes over the reins of the government. Scrutinizing the comments of the arbitration rule is going to take some more time. The bureau’s proposed rule on arbitration and payday lending is going to influence significant change in the financial services market and affect so many consumers, along with their accessibility to credit. The bureau should give it the attention and time that it needs.

CFPB need to exercise control to get the rules right and to maintain legitimacy. Originally, the bureau did not have any accountability to the president and the Congress. Its structure was recently held as an independent agency by the decision of a federal appeals court. The court even said that the director of the CFPB is the single most powerful official in the entire US government, next only to the president.

The problem was addressed by the court and it gave the president the power to sack the director for various reasons other than neglect of his duty. The president has the authority to oversee the work of the CFPB and fire the director, just like for any other agency.

The CFPB also need to avoid taking aggressive actions for the interest of legitimacy until the new president decided on who he wants as director for the bureau. The future of CFPB is uncertain, and therefore, any new rules will be viewed as an invalid attempt to dictate policies. This can lead to the rules being overturned by the new administration and can cause even more uncertainties in the industry.

Instead of putting the financial industry under whipsaw policy, the bureau and its director need to step away from the pen. CFPB should spend some time to work through the information that it has received as response for its proposed rules. This way, the new administration will be able to make better, informed decisions. The major goals of the bureau is to protect the customers and promote innovation and access in financial products and that does not change. The best way for the bureau at this moment is to wait before inaugurating and announcing the final policy regarding payday loans online industry. They need to really take the time to evaluate and assess the whole situation.

Pitfalls That Force Consumers to Apply for E Payday Loans

Attorney General Eric T. Schneiderman’s office partnered up with the federal Consumer Financial Protection Bureau (CFPB) in filing a complaint in a federal district court against an influential immense debt gathering system that executed their plans from Buffalo. These schemes are the main reason why people who don’t engage in financial malpractice fall into debt and have to resort to means like e payday loans.

The CFPB alleged that the perpetrators had dishonored the ‘Fair Debt Collection Practices Act’. Eric T. Schneiderman and the CFPB also asserted that the offenders dishonored the Dodd-Frank Wall Street Reform along with the Consumer Protection Act, which forbids prejudicial and misleading acts in the consumer monetary market. Their grievance also alleged recurrent deceitful acts and dishonest acts or in defilement of New York law. The offenders were clearly violating the New York state debt-collection laws too. Precisely, the CFPB and the Attorney General accused that the perpetrators MacKinnon and Gray (the ringleaders) along with their chain of debt collection companies had committed these malpractices:payday-online

Exaggerated consumer arrears which distorted sums consumers owed. The perpetrators had altered to consumers the amounts they actually owed by adding of amounts they never owed and weren’t indebted to recompense. The illegal corporations did not have a lawful right to gather these amounts from the customers. Explicitly these companies – Northern Resolution Group, Enhanced Acquisitions and Delray Capital had illegitimately tagged an additional amount of $200 to every consumer debt-account they had attained, irrespective of the fact that appropriate state law or the fundamental agreement between the consumer and the initial issuer allowed such dues or costs. Many cases showed that this evil arrangement went on to inflate the sums owed by appending on the extra unofficial charges and levies to the amounts outstanding. Many hoarders cited consumers balances that surpassed 600% of the actual debt amount.

These organizations also went on to deceptively portend legal action. The corporations misleadingly threatened consumers with lawful acts that the hoarders had no purpose of taking. In actuality, they never mentioned a case for trial. In one case, the businesses stressed one consumer by telling their victim that she didn’t even have the time to get legal representation as she was going to be arrested the day after. Some cases have shown the companies falsely accusing consumers of acting criminally. The companies also had fibbed to their customers, making claims of their arrest to burden them to pay additional amounts which they told them were part of their debts. These misleading practices could also have exaggerated the comparative precedence consumers gave to opposing financial obligations.

The organizations also mimicked law-enforcement administrators, government agencies, and officers of the high court. These fraudsters conducted falsified calls and emails to make it show as if their customers were being communicated by government officials. The businesses used call-faking skills to show their customers that the collectors were actually calling from real government agencies. These agents would conduct bombardment of calls to consumers and their families, portraying themselves to be government officials with powers to arrest the customer for being unable to pay the full amount of the debt.

The Consumer Financial Protection Bureau is a newly formed agency. It is dedicated to helping consumers in various finance markets by making highly effective regulations through consistent just enforcement of those rules. The agency alongside Attorney General Schneiderman demanded that the court should levy heavy penalties on the fraudulent company and its associates for their demeanor. They also called for compensation for the victims, many of them who were deeply hurt financially and were barely managing to live off by attaining further debts and e payday loans. There is a high need to be aware of such fraudsters in today’s world.


Jobs Aplenty, No More Need for Payday Loans Online, Thanks To Donald Trump

President Donald Trump has been rendering most of his anti-elitist campaign orotundity into policy declarations. This aggressive attitude towards breaking of shackles can prove to be a great thing for people who deal with money, people who engage in high quantity fiscal operations, payday loans online, etc. This is because the next shackle in contention for Trump’s dismissal is the Dodd-Frank Act. The heinous act must be gotten rid of as it has made the shifty Wall Street banks a superior danger to the country’s macro economy and especially the common man.direct_payday_loans_pros_cons1

Ever since the government answered for the 2008 financial catastrophe, the big banks, the culprits have gotten bigger in terms of financial power while meek community fiscal organizations have died out at a frequency of one every day. This hard-hitting truth of modern American society was posted on Trump’s official transition website. The statement went on to speak about the fact that taxpayers have remained on the edge despite having bailed out the banks and other financial firms who were considered to be immutable due to their sizes in 2008. The statement also said that Trump’s team of Financial Services Policy Implementation would be looking forward to the dismantling of the Dodd-Frank Act replacing it with original policies, ones that will actually encourage economic growth and create jobs.

Adding to the promise of annulling the Dodd-Frank Act, the statement on his website also outlined numerous policies that he had spoken a lot about in his campaign. They included demands for a suspension of new policies so that the present measures could be revised. The statement also spoke at length about a tax-code refurbishment. It declared the president’s plan to be seen from a broader view as meeker, more reasonable and pro-growth.

The decision to get rid of Dodd-Frank Act is not expected to be received as good news for Senator Elizabeth Warren. Even the staunch Trump critic had nothing bad to say about Trump’s motives. She said that she would be eager to work with the arriving administration to ratify economic and banking policies as long as Trump did not change the existing rules. In remarks arranged for an AFL-CIO labor alliance occasion in Washington, she quoted matters they agreed upon, with the need to limit Wall Street impact in government. The reinstatement of the Glass-Steagall Act restricts banking actions and reform trade agreements. She said that when the time comes for President Trump to take on these issues by implementing new policies keeping in mind his goal of increasing the economic safety of middle-class families, she would happily join in. Warren a Massachusetts Democrat promised to put aside their problems of the past and work with the president to achieve their mutual goal.

The new government’s strategies for a much-needed financial revamp needs certain regulations. However, this could pull from a suggestion which came out previously this year. The proposal was by Representative Jeb Hensarling who is a Texas Republican. He leads the House Financial Services Committee. He had an idea of a bill which was dubbed the ‘Choice Act’. The bill demands the tearing up of the fundamental parts in Dodd-Frank Act. It includes a facility that authorizes the government to pull to pieces banks or financial organizations who have failed in their endeavors. The Texas Republican also wishes to do discard the Volcker Rule limitations on banks’ dealings and investments. His plans also include formulating ways to deteriorate the influence of the Consumer Financial Protection Bureau.

Anyone familiar with financial terms like payday loans online or macro or micro economics should be able to understand the importance of what Donald Trump is doing. Under him, the future looks bright for USA’s stagnant economy.

Opposing Views Clash over the Legitimacy of Payday Loans

To say that viewpoints are polarized these days would be an understatement. On just about every subject imaginable – from pop music to politics – people have opinions. And often, the opinion that someone has on a topic puts them in direct opposition of the folks who don’t share that opinion. One only has to look at how Democrats and Republicans usually face off on various topics in order to understand how all of this works. Keeping in mind how people tend to cling to their opinion, and write off people who are on the opposite side of the fence makes it easy to understand why payday lending is such a hotly debated topic.

On one side you have consumer advocates and others who are opposed to payday lending. They believe that payday lenders charge too much for their services and that the lending companies play a part in trapping their customers in cycles of debt. On the other side, there are payday lenders, their customers and those who support this industry. The lenders are business owners that believe they offer valuable services to consumers that are underserved by traditional banks. The customers are people who need access to fast money, and who have turned to payday lenders for these services. And the supporters of this industry come from a wide range of backgrounds, with most of them sharing a strong belief in offering choice to consumers and the American entrepreneurial spirit.unsecured-loans-can-be-easily-obtained-through-payday-lenders-direct-6516

The Biggest Threat to Payday Lending

You can choose to be on either side; that’s one of the great things about this country. But there is one group that is the biggest advocate of eliminating payday lending completely – the Consumer Financial Protection Bureau (aka the CFPB.) This government group is in charge of protecting consumers from financial misdeeds and shady business practices. And while they certainly do that, the CFPB has been on a serious quest to rid the country of payday lending and other forms of short term loans that operate outside the realm of traditional banking. The CFPB is currently poised to unleash new, stricter regulations that many believe will ring the death knoll for the payday loans industry.

Surprising Support for the Payday Lending Industry

For a while, it seemed like only a handful of elected Republican officials had an interest in protecting the payday lending industry. However, in recent months key Democrat leaders have stepped up and joined in bipartisan steps to help delay/prevent the new CFPB regulations from taking effect. Many people believed that the payday lending industry was as good as done for until officials from both sides of the aisle began to talk common sense about the issue and started working together to formulate legislation that would work to stop the CFPB from enacting its new regulations. This is still a work in progress, but it demonstrates that even those who tend to lean toward liberal political affiliations can have a change of heart. As to where these bipartisan efforts will ultimately lead is something that everyone will have to keep an eye on in upcoming months.

The debate about payday loans will likely continue regardless of whether or not the CFPB is successful in implementing its new regulations. However, for those that ardently support a free market, choices for American consumers in the financial market and the ability for low income consumers to get access to short term, small dollar lines of credit, the hope is that bipartisan efforts to quell the CFPB turn out to be successful.

Estate Planning Tips for Women

When it comes to estate planning there are many people who are in need of help. Many women do not know how to go about planning for their estate. Here are some tips so that all women can start planning their estate.

The first thing you need to do is to make sure you have an updated will. This is one of the most important things that you can do for your future, and your family’s future. It will make things very difficult for your family after your death if you do not have one. Get help from a lawyer who specializes in wills and they will be able to help you create one that is the best for you and your family.

Take your time when deciding who is going to be your executor of the estate. This is a very important thing and if you leave it to someone who you cannot trust, while you may not be around to regret it, your family will not be happy. Being an executor of an estate is a big deal, so you need to make sure that whoever you chose is up for the job.

Put your money into trusts. This will ensure that your money will go to those who you want it to. If you do not have a trust set up for anyone and all your money is in various accounts, then it can end up being free game for anyone in your family. If there is someone you want to make sure gets some money put it into a trust. Go to your bank and they will be able to help you with this.

If you know that your health is going downhill you may want to give out some of your assets before you die. This will make sure that you will be able to leave what you want with who you want to have it. It also means that your family will not have to deal with it after you pass on.

Make sure you have named the beneficiaries of your retirement accounts. This will make sure that your family member will get the money that is in these accounts. It is not hard to do, but if you need help you can go to your bank and talk to someone about it.

If your spouse dies before you do, you need to review and revise your estate planning. Your will may need to be changed, your beneficiaries may need to be changed, and the executor of your estate may need to be changed. Go over all of it if your spouse dies before you and change what you need to change right away.

No one wants to think about dying. Unfortunately you need to. Getting your estate in order will help you stress less when you get older. It will also help your family so they do not have so much to worry about once you go.

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    Women’s Financial Planning Issues

    As women we tend to plan most things. One thing that we cannot forget to plan for is our finances. There is an old quote that says if you fail to plan you plan to fail. It is so true. There are many issues that women face when it comes to financial planning.

    Women really need to have a financial plan and be able to put it into place. That means that it must be a realistic plan or there will be no way for you to actually put it into place. Take some time when trying to create a financial plan. Think about each part of it before making it official. Have it written out so that you can refer to it as needed.

    In addition to a general financial plan you need to have a retirement plan. You do not know how long your retirement will last so you need to make sure that you have a good retirement plan so that you will have money throughout your retirement. Studies have shown that women tend to live longer than men do. If you need help that is okay, that is what financial planners are for.

    While your parents are still young, help them get long term care insurance. More often than not it falls to the woman to take care of their elderly parents. You do not want to use all your income or savings to take care of elderly parents. If they have long term care insurance that can help take a lot of the financial burden off of you. While you are at it you should get yourself some long term care insurance too. Plan for your future the same time you are helping your parents plan for theirs.

    Budgeting is another financial planning issue that women have. When it comes to making a budget, sometimes you have to make sacrifices in order to insure a good financial future. This is where we tend to have problems. Most of us women have something we like to do whether it is shopping, or going to the spa, or maybe getting our nails done. As much as we enjoy these things and do not want to give them up, sometimes we have to.

    When it comes to financial planning, we as women can have some issues once in a while. This does not mean that it is hopeless though. Financial planning is incredibly important for our financial future. What we do now does matter. Work at any issue you may have at financial planning and your future self will be very glad that you did.

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