Georgia payday loans class action settled
Payday loans should work for all. But a recent press release from Advance America today announced that they have settled a class action lawsuit in Georgia that resolves all claims against them in connection with any payday loan transactions in that state. Operations in Georgia had been suspended in 2004, to their detriment.
Tom Newell, the company’s VP of Legal and Regulatory Affairs, said this regarding the settlement:
We will continue to aggressively defend our products and services against these types of claims. However, a settlement like this one makes good business sense and brings value to our stakeholders by assuring certainty of outcome and eliminating continuing legal costs in a geographic market where we no longer conduct business. We are pleased to have reached a favorable result.
New Hampshire stealing legitimate jobs from taxpayers
Heading north, Advance America also announced the closure of its 24 New Hampshire stores. This decision comes after January 1, 2009 legislation took away consumer choice by effectively banning cash advance in that state. President and CEO Ken Compton pointed out that the 36 percent APR cap imposed on New Hampshire stores was devastating and unnecessary. Furthermore…
…Eliminating the payday loan product as an option does not eliminate the need for short-term credit in New Hampshire, it simply eliminates a sensible financial choice for thousands of hardworking people, and forces them into higher cost alternatives such as fees for bounced checks or late payments and other risky loans. We are disappointed that a majority of legislators and Governor Lynch chose to take away a viable, regulated short-term credit option from New Hampshire residents and put hundreds of employees out of work, particularly during a period of broad economic instability.
Payday loans are a choice people need
Outside of the closing costs such actions require, there are the inevitable jobs that are lost. How can New Hampshire legislators justify delivering such a devastating blows to families during a recession of this magnitude? For that matter, how could Georgia legislators in 2004? Simple. They don’t care about the individuals who scrape and claw to make a living, far outside the locked gates of their no-doubt palatial homes. The anti-faxless payday loan lobby may have just given them more money, which is normal politics in and of itself. However, they should care more about people retaining jobs in what has proven time and again to be a legitimate consumer finance field. Payday loans are a legitimate business and an emergency cash bridge for many consumers.
Related articles
- Payday loan company can settle class-action lawsuit (ctv.ca)
- The Cash Store Financial Services Inc. announces class action lawsuit settlement (newswire.ca)
It seems to me that Governor Lynch needs to keep his hands out of the honest workers pockets and business and spend his time and resources on more opportunities for employment, not destroying them.
It’s a shame to see these kinds of things. This company obviously wants to conduct smart, honest business. That’s more than anyone got out of Merrill Lynch, Citigroup, or Enron if you remember, so I fail to see how any social justice is being served by running out payday loan lenders.
As usual Big Brother thinks he knows whats best for everyone, we are not a bunch of miindless clones, give me a break Governor Lynch.