interest rates – Chateau Langeais http://chateaulangeais.com/ Sun, 17 Apr 2022 12:30:30 +0000 en-US hourly 1 https://wordpress.org/?v=5.9.3 https://chateaulangeais.com/wp-content/uploads/2021/10/icon-92-120x120.png interest rates – Chateau Langeais http://chateaulangeais.com/ 32 32 ASA investigates payday loans that break rules served by Google https://chateaulangeais.com/asa-investigates-payday-loans-that-break-rules-served-by-google/ Mon, 14 Mar 2022 12:17:00 +0000 https://chateaulangeais.com/asa-investigates-payday-loans-that-break-rules-served-by-google/ The Advertising Standards Authority (ASA) is investigating several reported examples of Google allowing ads from “predatory lenders”. The findings follow a report published in the Observer on Sunday which found that 24 advertisements had been paid for by 12 advertisers, including loan companies and credit brokers. Google’s stated practices prevent ad sales related to financial […]]]>

The Advertising Standards Authority (ASA) is investigating several reported examples of Google allowing ads from “predatory lenders”. The findings follow a report published in the Observer on Sunday which found that 24 advertisements had been paid for by 12 advertisers, including loan companies and credit brokers.

Google’s stated practices prevent ad sales related to financial services that do not disclose information about repayment terms or other potential risks to borrowers. It specifically cites failure to disclose associated fees as something prohibited, noting, “Disclosures may not be published as hover text or made available through any other link or tab. They should be clearly and immediately visible without the need to click or hover over anything.

It also cites failure to include links to any third-party accreditation or endorsement where affiliation is stated or implied with the terms of the loan-related advertisement. This veneer of legitimacy — and Google’s efforts to prevent loan providers from making false associations with real organizations — were partly behind the search giant’s efforts to stamp out the practice in 2016.

Commercials reported by the Observer including one that offered ultra-high interest rates of up to 1,721%.

The vendors’ marketing techniques – especially messages related to how quickly money will be available – appear to run counter to Google’s policies. Following the Observer report, the Guardian found that many of the same companies were running similar adverts despite Google removing the initial adverts. In 2020, Google removed 123 million ads related to violations of its financial services policies.

The ASA has concrete guidelines against predatory lending advertising and has enforced them across a wide range of advertising mediums. Its financial services rules information page points out that it has upheld the investigation into a Sunny Loans ad on the grounds that it may mislead consumers about repayment terms.

The problem is exacerbated online due to the speed and reach with which digital advertisers can reach consumers. The ASA said that while responsibility for ensuring ads do not violate the guidelines rests with the advertiser, media platforms such as Google “also have some responsibility for ensuring content complies with the guidelines. rules”. A spokesperson told the Guardian: “Platforms should and are taking steps to ensure misleading and irresponsible ads are not published.”

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SEC caps loan company interest rates and fees – Manila Bulletin https://chateaulangeais.com/sec-caps-loan-company-interest-rates-and-fees-manila-bulletin/ Wed, 02 Mar 2022 06:41:00 +0000 https://chateaulangeais.com/sec-caps-loan-company-interest-rates-and-fees-manila-bulletin/ The Securities and Exchange Commission (SEC) has issued a circular that caps interest rates and other fees charged by lending and finance companies, and their online lending platforms (OLPs). SEC Memorandum Circular No. 3, Series of 2022 (SEC MC 3), which will become effective March 3, provides guidelines on the implementation of Bangko Sentral ng […]]]>

The Securities and Exchange Commission (SEC) has issued a circular that caps interest rates and other fees charged by lending and finance companies, and their online lending platforms (OLPs).

SEC Memorandum Circular No. 3, Series of 2022 (SEC MC 3), which will become effective March 3, provides guidelines on the implementation of Bangko Sentral ng Pilipinas Circular No. 1133, Series of 2021 on the interest cap(s) Fees and other fees charged by loan companies, finance companies and their online lending platforms.

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The BSP Circular prescribes the maximum interest rates and other fees charged by loan and finance companies, and their PLOs.

The central bank has set the maximum nominal interest rate at 6% per month, or about 0.2% per day, and the effective interest rate (EIR) at 15% per month, or about 0.5% per day. day.

This applies to Covered Loans which are general purpose unsecured loans that do not exceed the amount of P10,000 and have a loan term of up to four months.

The EIR is expressed as the rate that exactly discounts the estimated future cash flows through the term of the loan to the net amount of the loan proceeds.

It includes the nominal interest rate as well as other applicable fees and charges, such as processing fees, service fees, notary fees, processing fees and verification fees, among others. It excludes fees and penalties for late payment and non-payment.

Meanwhile, loan and finance companies can only charge penalties of up to 5% per month for late payment or non-payment of overdue amounts owed.

A total cost cap of 100% of the total amount borrowed, applying to all interest, other fees and charges and penalties, regardless of the term of the loan, will also be imposed.

The cap on interest rates and other fees will apply to covered loans that lending and finance companies offer once the rules come into force on March 3.

All lending and finance companies must submit an impact assessment report by January 15 of each year from 2023.

The Commission will also require all loan and finance companies, whether or not they offer loans covered by the cap, to submit a business plan setting out the company’s loan products and services, as well as the Applicable pricing, SEC MC 3 compliant.

The Monetary Board, which exercises the powers and functions of the BSP, imposed the maximum interest rate and charges on covered loans offered by loan and finance companies, and their PLOs, on the initiative of the DRY.

In October 2019, the SEC formally asked the BSP to consider capping the interest rates and other fees that finance and lending companies can charge on consumer and payday loans, amid the proliferation of predatory and abusive lending practices.

Several lending and finance companies imposed exorbitant interest rates, fees and charges on their unsecured, short-term, low-value and high-cost consumer loans, causing Filipinos to fall into the debt trap.

Predatory lending has consequently propagated abusive, unethical and unfair means of collecting debts, with borrowers struggling to pay exorbitant fees on loans.


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This platform wants to disrupt the payday loan industry https://chateaulangeais.com/this-platform-wants-to-disrupt-the-payday-loan-industry/ Mon, 28 Feb 2022 15:39:47 +0000 https://chateaulangeais.com/this-platform-wants-to-disrupt-the-payday-loan-industry/ NAAC Finance will connect the unbanked with quick cash and financial education, helping them avoid predatory high-interest loans. More than 7 million U.S. households are unbanked, meaning no one living in that household has a checking or savings account, according to a FDIC investigation. Lack of a bank account can make it difficult to get […]]]>

NAAC Finance will connect the unbanked with quick cash and financial education, helping them avoid predatory high-interest loans.

More than 7 million U.S. households are unbanked, meaning no one living in that household has a checking or savings account, according to a FDIC investigation. Lack of a bank account can make it difficult to get a home loan, a small business, or a small dollar, leaving millions of Americans without access to finance.

To help address this issue, the National Asian American Coalition (NAAC), a California-based CDFI, launched NAAC Financesa digital lending service for low to moderate income communities who find it difficult to access traditional banking services. The service is a partnership with startup Asenso Finance from global venture capital studio Talino Venture Labs.

“It’s digital lending and financial management,” says Mel Dimacali, deputy director of CDFI at NAAC. “Rather than just asking people to borrow, it also helps them improve their credit.”

The digital lending service was created out of an FDIC technology sprint competition exploring how to help banks meet the needs of the unbanked through new technologies and methods. NAAC and Talino Venture Labs won the market readiness category with the program, “Breaking Down Barriers: Reaching the Last Mile of the Unbanked.”

“The goal was to deliver a product that will not only be attractive to people to join in terms of the benefits of the loan portion and improving their credit, but also education in financial management,” says Dimacali.

Increasing home ownership is the ultimate goal of NAAC and its programs. The organization is a HUD-approved nonprofit housing counseling agency that provides down payment assistance and homeownership counseling, as well as small business loans.

NAAC is currently accepting applications for the new NAAC Funding Program and plans to fully launch in February 2022 with the SPRING Small Dollar Loan. Borrowers can apply for loans of $1,000, $2,000 and $2,500, with interest rates ranging from 10% to 20%, and loan applications will be approved quickly, within two business days. Funds will be disbursed within two weeks.

The quick turnaround is an effort to address the “short-term liquidity” issue that individuals and small businesses often face, Dimacali says. The program also aims to help people avoid payday lenders when they need money fast, because these loans can charge up to 400% interest and leave borrowers in a more difficult financial situation.

NAAC Finance also requires borrowers to complete financial literacy training where they will learn money management skills. “We’re going to teach you why money is important, why credit is important,” Dimacali adds. “We give them examples of why building your credit is important because by building your credit you can be a more successful small business owner and a more successful individual, in terms of credit and financial empowerment. .”

Low to moderate income individuals with a credit score below 680 who are employed are eligible for a NAAC Finance loan. Small business loans are also available to help small businesses access capital to grow or recover from the difficulties of the COVID-19 pandemic.

Dimacali says the program isn’t just available to the Asian-American community, and NAAC partners with other community organizations to reach underserved groups. “Once this is fully launched, it will only grow more and more in terms of truly serving communities with education,” he says.

Dimacali says he’s very pleased that NAAC Finance is helping unbanked, low-to-moderate income people become more financially independent, take an active community role, and achieve the “American dream of owning your own home.”

“Because really, when someone has a low credit score, statistics show it tends to stay that way,” he explains. “They tend to be trapped in a system. We offer them a springboard through our loans to get back on track. And it’s exciting because we have a lot of partners who are involved in this mission.

This story is part of our series, CDFI Futures, which explores the community development finance industry through the lens of equity, public policy and inclusive community development. The series is generously supported by Partners for the Common Good. Sign up for PCG’s CapNexus newsletter at capnexus.org.

Erica Sweeney is a freelance journalist based in Little Rock, AR. She covers health, wellness, business and more. Her work has appeared in The New York Times, The Guardian, Good Housekeeping, HuffPost, Parade, Money, Insider and more.

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Access to earned wages boosts productivity https://chateaulangeais.com/access-to-earned-wages-boosts-productivity/ Wed, 23 Feb 2022 06:00:57 +0000 https://chateaulangeais.com/access-to-earned-wages-boosts-productivity/ In a time of pandemic-induced financial and economic hardship, waiting to get paid once a month can be difficult in the face of emergencies, surprise medical bills, and unforeseen expenses. The inability to access earned wages during tough times can also increase the chances of employees resorting to payday loans at high interest rates, further […]]]>

In a time of pandemic-induced financial and economic hardship, waiting to get paid once a month can be difficult in the face of emergencies, surprise medical bills, and unforeseen expenses.

The inability to access earned wages during tough times can also increase the chances of employees resorting to payday loans at high interest rates, further compounding their dire financial situation.

In Spain, salary advance startup Payflow sought to solve this problem for workers by allowing them to access their earned wages “when they want, as many times as they want and receive”. [funds] instantly,” co-founder Avinash Sukhwani told PYMNTS.

“Millions of Spaniards live hand to mouth and only get paid once a month. In an increasingly immediate world, this cannot be a reality,” Sukhwani said, adding that allowing workers instant access to their earned wages several times a month eliminates financial stress, leading to greater productivity for business.

Compared to other companies in the on-demand payment industry, Sukhwani said Payflow, which launched in 2020, sells its product to businesses for a monthly fee with no direct employee charges for the service.

“The workers’ statute recognizes access to wages as a right. It would not be good for the workers to be charged for their rights,” he explained. “They [companies] offer Payflow as a benefit to their employees.

Read more: Barcelona-based Payflow closes $9.1m funding round

And in sectors like hospitality, for example, where companies face major challenges in both recruiting and retaining talent, being able to offer such a free service for staff that improves well-being employee finance is extremely valuable.

“We noticed that our customers [have been able to] hire 27% faster, reduce their turnover by 20% and increase the productivity of their employees by 10% since [using] Payment flow. Happy employees make for happy companies, and our product helps increase employee satisfaction,” he said.

Reach millions of employees

So far, the model has gained popularity among blue-collar workers, who are the most adopted by companies using the platforms.

“In just two years, Payflow has become the regional leader in the earning industry with [more than] 100,000 users and [over] 175 customers, including well-known brands such as Webhelp, Covirán, Aristocrazy and Grosso Napoletano,” Sukhwani said.

The company recently closed a $9.1 million Series A funding round that increased its total funding to nearly $14 million, and with 0% churn and never losing a customer. , Payflow’s point of differentiation is operating in what is proving to be an increasingly competitive space, he noted.

Going forward, the Spanish FinTech plans to grow from a payday advance business to a neobank, growing from more than 100,000 current users to millions of employees in Europe and Latin America.

“In order to achieve this goal, we should significantly expand the user base and launch features that allow employees to do more with their money,” he said, aware of the enormous challenges involved in an ambitious plan. like building a digital bank.

“Many have tried and failed because it is a very complex product to build from all points of view, including financial, operational [and] regulations,” he noted.

But after the success Payflow has enjoyed over the past two years, Sukhwani said the company is not slowing down anytime soon and staying focused on its goals and objectives.

“In 2022, we want to double the workforce and launch two additional products. We plan to continue our international expansion through Latin America and Southern Europe, [starting in Italy and Portugal],” he said.

Register here for daily updates on all of PYMNTS’ Europe, Middle East and Africa (EMEA) coverage.

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NEW PYMNTS DATA: ACCOUNT OPENING AND LOAN SERVICE IN THE DIGITAL ENVIRONMENT

On: Forty-two percent of US consumers are more likely to open accounts with financial institutions that facilitate automatic sharing of their bank details upon sign-up. The PYMNTS study Account opening and loan management in the digital environmentsurveyed 2,300 consumers to explore how FIs can leverage open banking to engage customers and create a better account opening experience.

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How does an installment loan process work at Heart Paydays? https://chateaulangeais.com/how-does-an-installment-loan-process-work-at-heart-paydays/ Thu, 17 Feb 2022 18:38:35 +0000 https://chateaulangeais.com/how-does-an-installment-loan-process-work-at-heart-paydays/ An installment loan allows the borrower to withdraw a certain amount of money over time. The loan is then repaid in installments. Typically, installment loans come with fixed payment amounts – they don’t vary throughout the loan. However, loan interest rates may vary depending on the lender and the terms of the loan. Examples of […]]]>


An installment loan allows the borrower to withdraw a certain amount of money over time. The loan is then repaid in installments. Typically, installment loans come with fixed payment amounts – they don’t vary throughout the loan. However, loan interest rates may vary depending on the lender and the terms of the loan.

Examples of Tribal Installment Loans

Tribal installment loans for bad credit

Bad credit loans are great short-term cash solutions for people facing emergency expenses, but who have a very bad credit history. Lending platforms that offer these services are often not concerned with the borrower’s credit history. Instead, they only focus on whether or not they can repay their loans on time.

Tribal installment loans for bad credit

Credit score plays an important role in determining whether one is qualified for a loan. Borrowers with good credit ratings are often eligible for more loans than those with poor credit ratings, i.e. riskier applicants.

Alternatively, if you have a bad credit score, you can turn to Heart Paydays for a quick tribal installment loan for bad credit. The loan broker will connect you with a perfect loan company to solve your financial emergency needs here.

Tribal installment loans with a co-signer

A co-signer is someone who signs a loan agreement with another person. The co-signer agrees to take on the legal obligation to repay the loan if the applicant does not repay the loan on time. Additionally, the co-signer can help the applicant obtain loans on reasonable terms to reduce the lender’s risk.

Tribal Installment Loans No Teletrack

Teletrack was incorporated into the lending industry in 1989, making it a relative newcomer to the world of business-to-business financial systems. Its main function is to follow the personal credit files of creditors in search of quick information on potential customers.

Teletrack is a modern approach used to check borrower’s credit history. It gives lenders details of all credit records, such as credit card applications or mortgages that an applicant has ever incurred.

A no-teletrack tribal loan, on the other hand, ensures your credit privacy while improving your chances of qualifying for a tribal loan.

Eligibility for Tribal Installment Loans

There are many requirements to be eligible for instant payday loans. Although these requirements are designed to be used as a guide only, they may vary from one payday lender to another. Therefore, borrowers should review each lender’s policies when applying for a payday loan. While some creditors may assess your source of income, most are only concerned with the reliability of your income.

Clients must meet the following requirements to apply with online brokers such as Heartpaydays:

  • Must be at least 18 years old
  • Have an active email
  • Must have a current bank account

Tribal Installment Loan Costs

  • APR: Depending on your state’s lending legislatures and the amount you want to borrow, the APR can vary between 10% and 30% of your loan principal. Typically, they charge $15 per $100.

This equates to an annual percentage rate of almost 400% for a two-week loan. Tribal installment loans are often applied as alternatives to payday loans, where APRs range from 200% to 400%. Heart Paydays Loans offer installment loans with APRs between 5.99% and 35.99%.

  • Late fee: Creditors charge different penalty rates on late repayments depending on state lending laws.

If you are considering applying for a tribal installment loanknow that you will face challenges, especially if you cannot repay the loan immediately. If you find yourself in such a state, you can try various loan options such as loan refinancing or loan discharge in bankruptcy.

Although no law protects defaulting borrowers from prosecution, it is unusual to see borrowers unable to repay their loans end up in jail. Most of the jail sentences are due to these borrowers refusing to appear before the judges or failing to comply with court directives and not due to non-repayment of the loan.

How to apply for an installment loan at Heart Paydays

Step 1: Decide how much you need

Whatever loan you are looking for, estimating the amount you need is perhaps the key concern when deciding on a loan. Applicants are qualified to apply for loans of up to $5,000 from Heart Paydays. Installment loans vary depending on the direct lenders you are matched with from their database.

Step 2: Complete the application

Applicants enjoy a smooth application process when applying for loans online. As an applicant, you need to complete a brief online form and select the loan provider that offers you the best terms. This will instantly initiate the approval process by your potential lender.

Step 3: Wait for feedback

After completing the application, the lender will send you a response confirming whether your application has been accepted or not. This process typically takes less than ten minutes for Heart Paydays loan applicants.

Step 4: Receive your loan

If the direct lenders confirm that you qualify for their loan, they will deposit the money into your bank account. However, if your application is rejected, you will be referred to other lenders who can help you.

Get your installment loan today

The main challenge of opting for a tribal installment loan is that you will have to approach the lenders separately. Another big concern is that direct lenders have the privilege of setting loan terms and application procedures.

Fortunately, your fees can be significantly reduced with loan brokerage sites such as Heart Paydays. Also, they will save you the lengthy application process of direct lenders.

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Bill targeting ‘predatory’ loans gains momentum https://chateaulangeais.com/bill-targeting-predatory-loans-gains-momentum/ Wed, 09 Feb 2022 05:05:00 +0000 https://chateaulangeais.com/bill-targeting-predatory-loans-gains-momentum/ Democratic senses Katy Duhigg of Albuquerque and William Soules of Las Cruces support a bill that would lower the cap on interest rates for small loans to 36% from a current maximum of 175%. (Eddie Moore/Albuquerque Journal) Copyright © 2022 Albuquerque Journal SANTA FE — Legislation that would dramatically lower New Mexico’s interest rate cap […]]]>
Democratic senses Katy Duhigg of Albuquerque and William Soules of Las Cruces support a bill that would lower the cap on interest rates for small loans to 36% from a current maximum of 175%. (Eddie Moore/Albuquerque Journal)

Copyright © 2022 Albuquerque Journal

SANTA FE — Legislation that would dramatically lower New Mexico’s interest rate cap for storefront lenders could move quickly through the Senate after winning bipartisan support in a late House vote — according to reports. revolutionary supporters, the bill is closer than ever to its passage.

In an attempt to crack down on what some describe as “predatory” loans, the proposal would lower the annual cap on interest rates on small loans to 36%, bringing the limit in line with what federal law allows for military members in active service. . The state now allows an interest rate of 175% per annum.

A similar measure to lower the cap died last year amid a standoff between the House and Senate over where to set the maximum rate.

But it was the House, not the Senate, that balked at approving a rate as low as 36% for all small loans during the 2021 debate.

In a reversal this year, the House voted Monday night 51 to 18 in favor of capping the interest rate at 36%. The bill, House Bill 132, was amended to also allow a one-time 5% fee – similar to an origination fee – for loans of $500 or less.

Democratic senses Katy Duhigg of Albuquerque and William Soules of Las Cruces — longtime supporters of the legislation — said they support the amended version of the bill.

“I think the bill that passed the House strikes the right balance to ensure that we end predatory lending in New Mexico without restricting access to funds that many in our state depend on,” Duhigg said. the newspaper.

In an interview, Soules said the legislation remains similar to that passed by his chamber last year, increasing the likelihood that it will finally make it to the governor’s office this year.

“It helps New Mexicans and keeps money in our communities,” Soules said.

He added: “It’s more advanced than we’ve done before.”

long debate

The House vote came around 11:30 p.m. Monday after a three-hour debate on the store lending industry.

Eight Republicans joined almost all Democrats in voting in favor of the bill, in addition to the support of Representative Phelps Anderson, a Roswell independent and co-sponsor of the bill. Two Democrats voted “no”.

The bipartisan support came after Rep. Micaela Lara Cadena, D-Mesilla, won approval of amendments to allow an additional 5% charge for loans of $500 or less and to impose reporting requirements on co-ops to credit if they offer small loans similar to those available. at showcase lenders.

Rep. Susan Herrera, an Embudo Democrat who introduced the bill to the House on Monday, said the proposal would help New Mexicans who are exploited by out-of-state corporations.

“These stories are poignant,” she said.

Critics of the legislation said it could put businesses out of business, leave their employees out of work and push borrowers to seek out unregulated lenders.

House Minority Whip Rod Montoya, a Republican from Farmington who opposed the bill, said it would have a host of unintended consequences, like causing people in need to pawn their property for money. silver.

“The way I see it,” Montoya said, “is that we don’t trust certain people. We think some people are too unsophisticated, too incapable of making their own decisions for their own families.

But supporters are optimistic the bill will get the necessary votes before the end of the session on Feb. 17 to end up on Gov. Michelle Lujan Grisham’s desk.

“The big bipartisan vote in the House is a watershed moment in the fight to end predatory lending in New Mexico,” Kristina Fisher, associate director of the nonpartisan group Think New Mexico, said in a written statement.

The 5% fee proposal drawn up by the House “is a reasonable compromise”, she said, “and we will not oppose it”.

‘Follow the rules’

Even before lawmakers got into debate on the bill on Monday, it was at the center of a procedural skirmish.

Rep. Eliseo Alcon, D-Milan, introduced a motion to send the bill to the Standing Orders and Order of Business Committee, the panel that determines whether a proposal falls within what lawmakers can adopt during a 30-day session.

The bill, he pointed out, was not specifically authorized by the governor and had been amended to remove his appropriation, a change that warranted sending it back to committee for further review. Tax and expense invoices are automatically authorized in 30-day sessions.

The legislation initially provided an appropriation of $180,000 for financial literacy programs, but the proposed spending was deleted at a previous committee hearing.

“We have to follow the rules whether we like the bill or not,” Alcon said.

But after intense debate over whether the bill should be sent to committee, Alcon abruptly withdrew its motion to send it to committee and no vote was taken.

Later Monday, Lujan Grisham formally authorized lawmakers to pass the bill.

National attention

New Mexico has long debated how to regulate the lending industry.

A previous 36% cap on loan interest rates was abolished by the Legislature in the 1980s amid high inflation, according to research by Think New Mexico, which pushed for the cap to be reinstated lower rate.

After years of Roundhouse debate, lawmakers passed a 2017 bill that established the current 175% interest rate cap on small loans and banned so-called payday loans with terms of less than 120 days.

The Roundhouse debate has caught the attention of many national businesses who have hired lobbyists to represent their interests.

Small loan companies made $140,000 in campaign contributions to New Mexico candidates and political committees during the 2020 election cycle, according to a recent report by New Mexico Ethics Watch.

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The main reasons why you can benefit from debt consolidation https://chateaulangeais.com/the-main-reasons-why-you-can-benefit-from-debt-consolidation/ Wed, 02 Feb 2022 14:32:59 +0000 https://chateaulangeais.com/the-main-reasons-why-you-can-benefit-from-debt-consolidation/ The consumer world we live in today leads some people to deal with bad credit. If you belong to this category of people, you probably need a bad debt consolidation loan. A bad credit consolidation loan can offer you a financial loan to combine all your credit cards with payday loans and high cost or […]]]>

The consumer world we live in today leads some people to deal with bad credit. If you belong to this category of people, you probably need a bad debt consolidation loan. A bad credit consolidation loan can offer you a financial loan to combine all your credit cards with payday loans and high cost or high interest loans.

In short, debt consolidation loans for bad credit can help you consolidate all your loans into one, saving you time while reducing your fees and interest. In other words, this type of loan is completely stress-free. There are, of course, other benefits of debt consolidation, which will be our topic today, and which we will explore in more detail below. Let’s go.

Top Benefits of Debt Consolidation Worth Trying

As mentioned above, debt consolidation is stress-free and time-saving, but there are other benefits to consider, such as:

  1. Improve your credit score

When you pay off all of your debts with a debt consolidation loan, they will all be listed as “paid” on your credit card report, which can dramatically improve your credit score in the long run. A bad credit debt consolidation loan gives you the ability to control your high-cost finances by combining your loans into one simple example. Here’s how you can improve your credit score with such a loan:

  • Less fees, less interest, less late fees;
  • Negotiation with creditors to reduce repayments;
  • Refinancing;
  • Reduce interest rates by consolidating all debts into one loan.
  1. Be in control of your debt

Once you get overwhelmed with debts, you can start missing your monthly payments, resulting in a bad credit score. If your debt gets out of hand, you’ll just need more and more money to pay it off, but with such a bad credit score, you won’t be able to easily access personal finance from your traditional bank. This is precisely where a bad debt consolidation loan comes in, giving you a chance to regain full control of your finances.

  1. Lower interest rates

If you find yourself in a situation where you have to pay several debts at once, chances are that at least some of them are from your credit card. Credit cards always have a higher interest rate than other available loans, and those rates tend to get even higher when you fail to make a payment on time. Therefore, a credit card consolidation loan can reduce that high interest on your debt, giving you the option of paying off the loan at a much lower rate.

Image courtesy of Unsplash

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Writer opposes payday loan bill | Letters to the Editor https://chateaulangeais.com/writer-opposes-payday-loan-bill-letters-to-the-editor/ Mon, 31 Jan 2022 17:47:00 +0000 https://chateaulangeais.com/writer-opposes-payday-loan-bill-letters-to-the-editor/ Dear Editor: Recently, I was appalled to learn of a proposed bill at the Indiana Statehouse offering a “solution” to the payday loan industry. SB 352, dubbed the supervised consumer lending bill, claims to benefit the too many struggling Hoosiers who use these predatory services. Considering that the current legally permitted interest rates for these […]]]>

Dear Editor:

Recently, I was appalled to learn of a proposed bill at the Indiana Statehouse offering a “solution” to the payday loan industry.

SB 352, dubbed the supervised consumer lending bill, claims to benefit the too many struggling Hoosiers who use these predatory services. Considering that the current legally permitted interest rates for these loans stand at 391%, a fix is ​​definitely needed, but SB 352 right?

For anyone who has never needed to take out a payday loan, it can be easy to dismiss this problem and blame borrowers for their economic shortcomings. But it’s really not that simple. Banks often do not provide service to low-income people in many Hoosier communities.

These same people bear the greatest burden when the price of food, rent, utilities, gas and everything else goes up. Although there is help available through several sites, this information is not always readily available and the entry threshold into these programs can be too onerous.

So, with highly targeted marketing and easy accessibility, the payday loan industry is rushing to fill the void.

It was my experience as a young soldier in the US Army. Growing up in a fairly comfortable middle-class existence, I was lucky enough to fall back on my parents if I had an economic emergency. But for years, I’ve watched too many of my classmates take out payday loans to manage between their meager monthly paychecks. Especially those with families, who were often already receiving some form of government assistance.

After failing too many times myself, I jumped on the payday loan bandwagon. They were very easy to get, but not so profitable. Eventually, with more expense, I made it…with help.

Once again, I was lucky to have a family I could lean on. That’s just not the reality for many service members and veterans today, 25 years later. In addition to having some of the most daunting challenges of any cohort of people in our society (high rates of depression, PTSD, drug use, financial insecurity, homelessness and suicide), veterans are heavily targeted by the payday loan industry, along with these massive interest rates and fees.

Real change needs to happen now. Not just for veterans, but for everyone in Indiana.

Although SB 352 is touted as this change to payday loan laws, it is just a fig leaf to create more profit for the industry. That our Indiana legislature continues to allow the business model of this predatory industry to exist as is, on the backs of workers and Hoosiers on fixed incomes, amazes me.

Bolstering this industry with new legislation to take even more advantage of the most vulnerable Hoosiers is maddening and unacceptable. You can’t draw blood from a stone, and it’s high time the Indiana state house understood that.

Please join me in reaching out to your state senator and representative to tell them to vote no on SB 352. Enough is enough!

Bryce Gustafson

Program organizer

Citizen Action Coalition

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Budget 2022: “Day traders, market makers who provide liquidity to shallow markets deserve tax incentives” https://chateaulangeais.com/budget-2022-day-traders-market-makers-who-provide-liquidity-to-shallow-markets-deserve-tax-incentives/ Sun, 30 Jan 2022 09:24:19 +0000 https://chateaulangeais.com/budget-2022-day-traders-market-makers-who-provide-liquidity-to-shallow-markets-deserve-tax-incentives/ “Day traders, jobbers and market makers providing much-needed liquidity to our shallow markets, and thus motivating risk-taking, deserve serious tax incentives. The abolition of the securities transaction tax can actually lead to a significant increase in daily volumes and deeper markets, thereby significantly reducing transaction cost and market volatility. By Amit Kumar Gupta People who […]]]>

“Day traders, jobbers and market makers providing much-needed liquidity to our shallow markets, and thus motivating risk-taking, deserve serious tax incentives. The abolition of the securities transaction tax can actually lead to a significant increase in daily volumes and deeper markets, thereby significantly reducing transaction cost and market volatility.

By Amit Kumar Gupta

People who grew up in the 1980s/90s would remember the kind of anticipation and excitement that Doordarshan’s (DD) New Year’s Eve entertainment program used to ignite among class households. medium. While the elite partied the night away, the middle classes ushered in the new year sitting in front of their B&W television sets, listening to Gurdas Mann sing his most popular song – Dil da maamla hain and watching a few comedians striving to make people to laugh.

The current situation of the Union budget is somewhat similar.

It used to be that the wealthy looked forward to the budget for incentives to invest and loopholes to evade taxes. The middle classes would expect some tax relief. The poor would expect more subsidies and welfare schemes.

This situation prevails, not anymore.

Tax incentives and deductions have been largely streamlined. Tax rates are generally predictable. Indirect taxes are off budget and totally under the GST council. Most social protection schemes have been transferred to the states.

The union budget is now a boring accounting exercise. Changes to the Long-Term Capital Gains Tax (LTCG) arising from the sale of publicly traded shares is one such story that is served up almost every year. If my email is a reference, at least half of the market players are discussing it and worrying about it, once again!

Budget Day is usually one of the most volatile days of the year on an intraday basis as traders wildly speculate on one of the announcements made by the FM during the Budget Keynote. Position wise, given that the markets saw a decline before the budget, presumably a lot of expectations are factored in and now the actual announcements, if anything major will only induce more movement important.

Historically, each time we have seen a big drop before the budget, it has given traders and investors an opportunity to build positions with a fresh perspective after the budget announcement.

Stakeholders seek massive investments in infrastructure; tax support for MSMEs; stimulate private consumption by leaving more cash in the hands of citizens (lower taxes); higher spending on health care, agriculture and education; aggressive divestment; lower budget deficit; revival of the housing sector; etc No one is proposing new or higher taxes. The capital market would not expect any tinkering with the LTCG or the STCG. A deletion of STT which is now there as an anomaly after LTCG will be a major surprise if removed.

Finance ministers have always struggled to maintain a balance between increased social sector spending and fiscal consolidation. This struggle will continue this year as well. I think the conditions are too fragile to introduce new taxes like inheritance tax or any significant increase in existing tax rates.

Much of the indirect taxation now falls under either the GST Board (GST), state legislatures (excise duties and Cess), or international agreements (tariffs); the union finance minister has a very limited role to play in this regard. This largely limits its discretion to direct taxes only. Moreover, since most direct taxes have already been rationalized, it would have very limited room for maneuver to reduce direct taxes. If anything, it can impose new taxes or additional taxes. The best outcome for taxpayers would therefore be for the FM to maintain the status quo on taxes.

Given the various Supreme Court decisions, legislations, rules and regulations implemented over the past two decades, the sale of public assets (mines, waves, PSE shares, land, etc.) must meet the criteria sustainability, development, transparency, viability, socio-political opportunity; etc and highly dependent on current market conditions. In the past, there was absolutely no correlation between the asset sales targets announced in the budget and their actual achievement. But other targets such as increasing FDI from PSU banks to 74% will be monitored.

As investment advisors, we stick to our investment strategy and don’t tinker with budget announcements. We are overweight major financial stocks, both private banks (ICICI Bank, Axis Bank) and PSU banks (SBIN). We are underweight specialty chemicals and have no allocation to metals, commodities and API-based pharmaceuticals. We continue to be positive on trade unblocking and betting on consumer discretionary stocks like Devyani International, Chalet Hotels and Safari Industries, and we are also overweight the real estate sector – both developer and ancillary and continue to invest in these stocks for our clients.

One could appreciate the argument of “capital market development” in case of investment in IPOs, private equity funds or venture capital funds, etc., because in such cases the companies get much-needed venture capital. But transactions on the secondary market do not pass this course.

The incentive for longer holding periods has failed miserably to improve market liquidity or minimize market volatility. It is common knowledge in the market that the LTCG tax exemption has been widely used for money laundering purposes. In fact, over the past two years, the regulator and tax authorities have also taken action in many cases for misuse of the LTCG tax provision for money laundering.

On the contrary, the day traders, jobbers and market makers who provide much-needed liquidity to our shallow markets, and therefore motivate risk-taking, deserve serious tax incentives. The abolition of the Securities Transaction Tax (STT) can actually lead to a significant increase in daily volumes and deeper markets, thereby significantly reducing transaction cost and market volatility.

In the absence of a functioning retail debt market, companies rely heavily on “fixed deposits” from investor households to meet their working capital needs. These deposits are completely unsecured and carry high risk for investors, instead of slightly higher interest rates compared to bank loan rates.

Unsecured debt providers take much higher risks and therefore deserve more tax incentives.

(Amit Kumar Gupta is a fund manager and head of the research office at Adroit Financial Services Pvt. ltd. The opinions expressed are those of the author. Please consult your financial advisor before investing.)

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Loans that help you solve your car problems https://chateaulangeais.com/loans-that-help-you-solve-your-car-problems/ Fri, 28 Jan 2022 15:57:34 +0000 https://chateaulangeais.com/loans-that-help-you-solve-your-car-problems/ In our daily tasks, we rely on our ability to move from one point to another. We humans have to move to survive, without movement we couldn’t get to work, buy groceries and toiletries or even go to important places. Most of this problem can be solved by getting a car. A car really solves […]]]>

In our daily tasks, we rely on our ability to move from one point to another. We humans have to move to survive, without movement we couldn’t get to work, buy groceries and toiletries or even go to important places.

Most of this problem can be solved by getting a car. A car really solves the travel problem, but cars break down and need to be repaired.

So how do you deal with car trouble, when all you can think of is “how to pay for car repairs without money when I need my car repaired but don’t know where to borrow »?

How Auto Loans Work

If you’re struggling with emergency car trouble, guess what, you’re not alone. Auto loans are also called car loans or car loans. These loans are sums of money taken out by borrowers to purchase a new or used personal or utility vehicle.

Auto loans are secured unlike personal loans which are unsecured, the loan is used to purchase serves as collateral in an auto loan.

Today, the total number of Americans has increased dramatically over the past 10 years. On average 1 in 4 people spend 10% of their income on car debt.

Interest rates on car loans

Auto loans are secured loans taken out by people to purchase vehicles. The average interest rate for a car loan is 4.09% for new cars and 8.66% for used cars. Auto loan interest rates are provided as an annual percentage rate or APR.

The interest rate depends on various factors such as debt, income and credit rating. Credit score had a major influence on the interest rate, people with a credit score of 780 and above have a better chance of getting a loan with around 3% interest.

According to Experian Information Services, here are the applicable rates based on credit score

CREDIT RATING Average APR for a new car Average APR for a used car
Super Prime

781-850

2.34% 3.66%
First

661 – 780

3.48% 5.49%
not first

601 – 660

6.61% 10.49%
Subprime

501 -600

11.03% 17.11%
deep subprime

300 – 500

14.59% 20.58%

How long do car loans last

Car loans are so important in the process of acquiring a car. The loans can last between a period of about 12 months to about 8 years. Auto loans are for 12 months.

Car loans: effect on credit score

Auto loans, like all types of credit services, have both good and bad effects on our credit score.

  • The car loan is important in the acquisition of a car.
  • Payment history accounts for 35% of our credit score.
  • Paying off our car loan on time and within the repayment window positively affects our credit score.

Car loans do not affect the use of credit, which positively affects our credit score. When not repaid, loans can accumulate, which negatively affects our credit score.

Battling with emergency car issues can be stressful enough, but knowing the right credit service to use takes a lot of the stress away.

According to American Automobile Associationthe average car upkeep that includes routine maintenance and repair in the event of damage costs about $1,200, and only about a third of American drivers are financially strong to afford unexpected car repair costs.

Some automotive problems are covered by the vehicle’s warranty or insurance, but sometimes our vehicle may develop a fault that neither our warranty nor our insurance covers, so we have to pay cash, and situations may arise where we don’t have no cash on hand, there are few ways to get the funding we need, so let’s review

#1 Personal Loans

Personal loans are unsecured loans characterized by high interest rates. Personal loans can be used for a variety of things like home renovations, car repairs, vacations, etc. Personal loans for car repairs can be obtained at fitmymoney.com

#2 Credit cards

Credit cards are a way to pay for auto repairs that aren’t covered by insurance and warranty. Auto repairs can be placed on a card with an open credit limit.

#3 Payday Loans

Payday loans are also called payday advances. A payday loan is a short-term, unsecured loan, often characterized by a long interest rate. Payday loans are usually repaid when you get your next paycheck, but some lenders may give you more time to repay. Payday loans can be obtained to pay off automobile problems. Payday loans for auto trouble can be obtained at fitmymoney.com.

#4 Car Title Loans

Car title loans are short-term loans in which the lender deposits the title of their car as collateral to obtain a loan. When the borrowed money is repaid, within the repayment window which can last up to 30 days, the title of the car is returned, otherwise the person risks losing their car to the lender.

Conclusion

Car loans are very important in our daily lives, not only because they allow us to buy a car, but also because, if managed well, they can be a major way of increasing our credit score.

The loans available for repairing our cars are so important in filling the gaps in economic situations such that today only one-third of Americans can afford to maintain their vehicles without resorting to loans.

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