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The Payday Lending Industry and CFPB Overreach

The payday lending industry is increasingly gaining support from some surprising sources in its campaign against CFPB overreach and the agency’s purported plans to regulate payday lending out of business. The Consumer Financial Protection Bureau, which was established in 2010 to protect consumers from predatory lending practices, was originally expected to limit payday lending severely

End Onerous Payday Loan Regulations – It’s Supposed to be a Free Market

With the creation of a new federal agency designed to oversee the protection of consumers, economic experts are beginning to consider whether more government oversight is needed. The country may function better by allowing the free market to be free. To this end, it’s time to stop payday loan restrictions now. The Advantages of a

Ominous Omens Build for a Stock Market Crash

Stock market crashes destabilize economies and make investors leery. When they happen, a recessionary period marked by slow economic growth usually follows. Because the markets face continuous exposure to risk, it’s tough to predict crashes. They are also impossible to avoid. In the past, stock market crashes have sent industry experts and investors searching for

Why the Cash Advance Industry Should Be Regulated

Federal regulations on the financial industry were few prior to the 20th century. However, in recent years, the government has become increasingly aggressive in regulating the financial industry. Federal efforts became even more intense following the financial crisis of 2008, which was described by the New York Times as “avoidable.” Excessive risk-taking, lacking of government

The Pension Funding Crisis Has Begun

Recent fiscal reports combined with current economic conditions show that the pension crisis has begun. The crisis is occurring at the state, federal and corporate level, and it is happening across America. According to industry experts, the financial catastrophe is hitting now because of a disparity between pension commitments and the funds set aside to

Payday Loans and the Hidden Cost of Bank Fees

While excessive interest rates and hidden fees have been top concerns in the payday lending industry for years, the burdensome banking penalties often associated with automatic loan repayments are now coming under heavy criticism. A recently released report by the Consumer Financial Protection Bureau (CFPB) found that nearly half of 20,000 payday loan accounts had

Protecting Your Wealth in an Economic Crisis

No one knows his way around a financial crisis better than Warren Buffett does. From October 2008 to March of 2009, shares in Berkshire Hathaway, Mr. Buffett’s company, fell by 32 percent. Because Berkshire owns numerous companies that performed well, the book value of the corporation ended up seeing a decrease of just 9.6 percent

How Payday Loan Regulation are Fueling the Rise of Loan Sharks in England

The number of borrowers who are approaching loan sharks for emergency money is on the rise in England due to stricter regulations on payday loan lenders. According to the Consumer Finance Association, or CFA, which is an organization that represents the country’s short-term lenders, recent restrictions against the industry have decreased people’s access to these

CFPB Report Hits Payday Loan Industry Hard

When the Consumer Financial Protection Bureau, or CFPB, began considering regulations for the short-term loan industry, the agency started the process by doing its homework. Recently, the CFPB released its findings, which hit the payday loan industry hard. During a press conference, Richard Cordray, the agency’s director, said, “We promise to consider this data further

Stop Payday Loan Restrictions Now — Let the Free Market be Free

In recent years, the payday loan industry has come under increasing scrutiny and criticism. Terms such as “predatory” and “abusive” have been hurled by opponents of payday lenders to describe these companies’ lending practices. Defenders of the payday loan industry feel that the government is overstepping its powers by attempting to regulate the free market.

Online Payday and Installment Lenders Face Ominous Risks

Online payday and installment loan lenders face ominous risks. Heavy regulation, prosecution and too many delinquent accounts are just a few of the perils confronting the industry. Payday Loan Industry Faces Onerous Regulation Burdens According to CNN, about 12 million Americans take out short-term loans each year. The success of the business and its reputation

What Brexit Means for the European Economy

By June 23, 2016, British voters will choose to stay within the European Union, or EU, or leave the system. Investopedia confirms that this action is what’s known as a Brexit. For years, the country’s citizens have been doubtful about the benefits of being a part of the EU, which is a political and economic

The Global Debt Bubble Hurls Towards Complete Collapse

Less than 10 years ago, the global economy descended into the Great Recession making it the most extensive slump since the notorious Great Depression. After the market fell during 2008, recovery has occurred, but it’s been a long, slow process with plenty of jolts along the way. Despite the bruises, the global economy is looking

Do Payday Loans Help or Hurt Those Without Credit?

As of April 2015, 29 percent of the respondents to a poll conducted by Bankrate stated that they had no savings to cover unexpected expenses. When asked whether they could cover a medical or repair bill of $500 to $1,000, only 38 percent stated that they could pay the bill with funds from a bank

Gold as a Means of Wealth Preservation

When the economy becomes unstable, those who have built up their wealth should look for ways to preserve it. One of the easiest ways to preserve wealth is by investing in gold. Throughout history, paper money systems tend to go by the wayside while gold is the only currency in the world that remains in

Crowdfunding for Startups Sees Explosive Growth

New startups have always struggled to secure financing, but the mounting number of Kickstarter successes are showing the business world that raising funds with small donations from a large number of people is surprisingly effective. Business News Daily reports that more small businesses and startups are turning to crowd source funding. In fact, a number

Federal Regulators Begin Reign of Terror on the Payday Lending Industry

With the Consumer Financial Protection Bureau, or CFPB, gearing up to enact its reign of terror on payday lenders, some companies are digging in their heels while others are bailing out. The agency spent more than four years completing studies and listening to industry experts to decide what regulations to put in place. Change is