Google: Your Payday Loan Dollars Are No Longer Welcome

Search engine market leader Google recently announced a global ban on payday lending ads. These lenders will no longer be able to advertise payday loans, short-term loans, title loans and high-interest loans with interest rates higher than 36 percent APR. Google claims that it’s bowing to pressure from consumer groups because these ads target low-income

How Online Payday Loan Lenders Bypass State Payday Laws

If you’re wondering how payday loan lenders bypass state payday laws, keep in mind that these lenders tend to be a wily bunch. Short-term loans produce major profits for lenders. Because of this, payday loan companies often change their business models when legislators attempt to rein them in. Tom Feltner, an associate of the Consumer

Tribal Payday Lending – A New Growth Industry

Tribal Payday Lending a New Growth Industry Native American tribes across the U.S. are gaining financial footing in issuing online payday loans. While some tribal nations have the monetary resources to support their enterprising endeavors, many others are engaging in irresponsible lending practices that are illegal in most states. Protected by sovereign immunity, tribes are

House Panel Votes to Block New CFPB Payday Loan Regulations

Payday lenders received a possible lifeline after a house panel voted to block new Consumer Financial Protection Bureau, or CFPB, payday loan regulations. With a 30 to 18 vote, the Appropriations Committee initiated the process of blocking the proposed regulations offered by the agency. According to reports, the House panel believes that the CFPB is

If This is a Recovery, Wait Until the Next Recession

Despite seven years of economic growth, a recession is on the horizon. Since the Global Financial Crisis of 2007 – 2008, many investors and consumers have been wary of the condition of financial markets. Between mid-2009 and present, many of these concerns faded, and people who continued to be skeptical were labeled as pessimists or

More Hedge Fund Managers Join the Bears; Go Hunting for Bulls to Kill

Hedge funds search out absolute returns. Because of this, more hedge fund managers are joining the bear camp and are hunting bulls for the kill. To this end, billionaire hedge fund founder George Soros recently returned to trading. According to industry insiders, his return signals the opportunity to profit from looming economic troubles. More Hedge

Wasserman Yanks Support for Payday Loan Industry

After intense public pressure and a challenge for her seat from the left, Wasserman yanked her support for the payday loan industry. Within a few hours of the Consumer Financial Protection Bureau, or CFPB, introducing federal rules for the short-term loan industry, Representative Debbie Wasserman Shultz released a statement on Facebook complimenting the agency’s efforts.

The Death of the American Middle Class

The Death of the American Middle Class Unless the country changes direction, the death of the American middle class may actually arrive. What was once a nation that believed hard work resulted in a comfortable lifestyle is turning into a country that coddles its wealthy while pushing those with lesser incomes closer and closer to

While Payday Loans Are a Poor Option, Forbidding Them is Far, Far Worse

In recent years, politicians, consumer agencies and even celebrities have become increasingly critical of payday lenders. Terms such as “debt trap,” “predatory lending practices” and “usurious rates” are becoming extremely common in comments made by these critics. Opponents of payday loans would regulate the industry so severely that many lenders would stop offering short-term, low-dollar

New CFPB Payday Loan Rules Would Kill the Industry

The Consumer Financial Protection Bureau, or CFPB, recently proposed new regulations that are geared toward eliminating payday loan debt traps. In particular, the agency will require lenders to confirm that consumers are able to repay the funds that they borrow. The new protections will cover payday loans, specific high-cost installment loans, auto title loans and

Severe Storm Warning – Bill Gross Warns on Global Debt Bubble

Investment guru Bill Gross has warned that a global debt bubble may lead to an economic collapse. If you have been following the markets this year, you are probably aware that investors and banks are treading into unknown territory. A series of unconventional monetary policies, strange yield curves, and rapid technological growth have inspired experts

The War on Payday Loans Begins to Look Like the War on Drugs

President Nixon fired the first shot in the failed war on drugs when he declared it “public enemy number one.” Supposedly, the reason for stepping up arrests and prosecution of traffickers and users was to change people’s drug habits, but the lesson of nearly 50 years, according to an article in the Economist.com, is that

Brexit Could Set Off A Storm in Global Markets

If you have been following the financial news since the beginning of 2016, you likely know that Britain has considered leaving the European Union. Britain’s departure, or Brexit, could trigger the collapse of the entire euro zone. If this happens, financial woes may spread to the Americas and Asia. Leaders from France and Germany have

Millions of Americans Need Payday Loans; New CFPB Rules Would Prevent That

The Consumer Financial Protection Bureau finally issued regulations that affect the payday lending industry. The new rules would require lenders to ensure that borrowers have the ability to repay their loans and limit how many times electronic debits could be presented at banks. Presenting electronic checks multiple times for payment escalates bank service charges, but

Why So Many Americans are Broke

A recent Federal Reserve report confirmed that Americans are broke. The data shows that 46 percent of the nation’s citizens would be in trouble if they were required to come up with just $400 to cover an emergency. How did this happen? The answer to why so many Americans are broke ranges from a slow

With Brexit Increasingly Likely, Will the EU be Shattered?

Recent polls suggest that the United Kingdom is likely to leave the EU. What does this mean for the rest of Europe? During the past few months, supporters of the British proposal to leave the European Union have gained traction. This British exodus from the European Union, or Brexit, will cripple Europe’s economy and current

Payday Loans – Addictive as Drugs

Payday loans can be addictive because they’re readily available and easy to get, so people turn to them often when they need cash to tide them over during financial emergencies. Unfortunately, these loans were meant only for short-term, emergency cash needs and carry high interest rates to keep them available to everyone–even people with bad