Payday loan providers have been in existence for decades, providing quick-but-pricey loans to borrowers that are distressed.
From hundreds of walk-in storefront offices, they loan away little amounts to be repaid through the borrowerвЂ™s next paycheck.
Today, theyвЂ™re getting elbowed aside by a growing cadre of online rivals who arenвЂ™t licensed and whom increasingly are accused of ripping off consumers. Last month, the Ca Department of Business Oversight warned customers to avoid rogue online loan providers вЂ” frequently located overseas or that is overseas provide enticing come-ons from splashy sites, but whom may keep borrowers little recourse if one thing goes wrong.
вЂњItвЂ™s like Whac-A-Mole,вЂќ said Mark Leyes, spokesman for their state Department of company Oversight, or DBO. вЂњWeвЂ™re wanting to compile a listing of unlicensed organizations, nevertheless they change their business title in one week into the next.вЂќ
Enforcement actions against unlawful lenders that are payday stepped up recently. Continue reading “Illegal on line loan providers plague cash advance industry”