Third World Countries are going to repeat those mistakes that U.S. did
After watching DebtCC Forum for so many days what I have understood is Payday loans could not come up as a helpful means to solve financial crises. Perhaps the business started with good intentions but not all the lenders associated with it were good and ultimately consumers suffered a lot.
While selling loan, payday lenders do not check if the consumer has understood the terms thoroughly and the consumer is able to pay it back on the due date or not. And consumers do not read the fine print and get in a trap.
Also I don’t find any law that can answer my query:
If an internet-based payday lender, physically situated in FL, loans money to a NC consumer and charges higher rates in terms of fees and renewal charges than what NC allows, then what recourses the consumer has. Also if and law is there that can protect the lender if this consumer stops payment?
Obviously I am not talking about the consumers from FL and NC only; this is a problem for payday loan consumers who go for internet-based payday loans.
The bad thing is, Third World Countries are going to recur same thing. Though the credit system is completely different there, still Spot Loan Shops are rising head like mushroom in the Third World Market. Lots of ads are posted in the classifieds that say: “Bring credit card and take home money” or “Easy Loans, Spot Cash”. I am afraid people won’t be able to find the catch. I really don’t know how to make them aware. I have some journalist friends; perhaps I will be contacting them soon.
Technorati Tags: payday loan, news, blog
