HomeFairfax General ForumArrest/Ticket SearchWiki newPictures/VideosChatArticlesLinksAbout
Fairfax County General :  Fairfax Underground fairfax underground logo
Welcome to Fairfax Underground, a project site designed to improve communication among residents of Fairfax County, VA. Feel free to post anything Northern Virginia residents would find interesting.
Payday loans in Danger?
Posted by: FUNdamental ()
Date: January 15, 2008 12:21PM

RICHMOND - A state delegate from Fairfax County is touting a bill that he says would keep payday lenders in Virginia but restrict the growth of their controversial business.

Del. Mark Sickles, a Democrat, will run into opposition from some members of the General Assembly who want to essentially ban the storefront lending outlets from the state.

Whether Sickles or anyone else succeeds remains to be seen. Last year, talks collapsed in the legislature and neither side walked away with a victory.
But Sickles' Friday press conference attracted a crowd, making one thing clear: The debate is on again.

His bill incorporates a new wrinkle, using gross monthly income to determine the maximum amount of a loan. Someone could borrow up to 25 percent of his gross monthly income or $1,000, whichever is less, or $500 if it is a second payday loan.

"My bill goes further than any reform bill does, because it ensures that nobody can borrow any more than they can afford to repay," he said.

He would also limit a borrower to having no more than two outstanding payday loans at one time. It would allow for a 60-day, interest-free payment plan on a second payday loan. The minimum term for the loan would go from seven to 14 days. And it requires a one-day waiting period between repaying one loan and taking out a new one.

Sickles said the approach represents "his current thinking" on the matter and he's open to changes.

Many lawmakers come to this issue because payday loan outlets are common in their districts, but that's not the case with Sickles.

"I have a pretty yuppie district," he said. "I've never knocked on a door and have people bring this up to me."

However, he watched last year from his seat on the House Commerce and Labor Committee as the two sides struggled to find common ground.

"I would like to end the cycle of debate on this bill, as well as the cycle of debt," he said.

Sickles received $11,496 in campaign contributions from lending or consumer credit companies in 2007, including $3,000 from CheckSmart Financial, a payday lending company based in Ohio, according to the Virginia Public Access Project.

A spokesman for Advance America said the industry is willing to work with lawmakers on changes. In fact, they are agreeable to loan limitations, an Internet database to track borrowing activity and cooling off periods between loans.

Spokesman Jamie Fulmer said it has been difficult to reach out to the other side.

"It's hard for us to negotiate in a mirror," he said.

But critics of the industry say the payday lenders succeed by trapping unwary consumers, including the working poor, into a cycle of debt, hence the "popularity" of the product.

Del. Glenn Oder, R-Newport News, wants to impose at 36 percent annual percentage rate cap on the loans, which he acknowledges would drive the industry out of the state.

"It's the only true protection," he said.

Sen. Donald McEachin, D-Richmond, has also filed a 36-percent rate cap bill, although he contends the industry could survive under it.

"I'm looking forward to a vigorous debate in the Senate on this," he said. "I think the 36-percent cap brings payday lenders in line with all other lenders in the state. That's the cap for anybody in Virginia. It allows the borrower to be on a level playing field."

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: bdimag ()
Date: January 15, 2008 12:24PM

i've always thought of opening a payday loan store... very lucrative (sleazy?) business..

too many check n go's though..

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: FUNdamental ()
Date: January 15, 2008 12:26PM

Whaqt is everyone's favorite payday loan place in Fairfax?

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: TheMeeper ()
Date: January 15, 2008 12:33PM

FUNdamental Wrote:
> Whaqt is everyone's favorite payday loan place in Fairfax?

I go to the one at the Ritz-Carlton in Tysons.

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: 3Ply ()
Date: January 15, 2008 12:36PM

The move to ban payday loans is racist. It is a way of ensuring that immigrants do not have a steady stream of income. This is simply a way of getting rid of immigrants in the guise of consumer protection!

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: bdimag ()
Date: January 15, 2008 12:45PM

since when is borrowing money and then giving it back plus more a steady stream of income?



Edited 1 time(s). Last edit at 01/15/2008 12:47PM by bdimag.

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: 3Ply ()
Date: January 15, 2008 12:54PM

bdimag Wrote:
-------------------------------------------------------
> since when is borrowing money and then giving it
> back plus more a steady stream of income?

Don't argue facts, you know it is racist against immigrants.

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: Fairfax MF---er ()
Date: January 15, 2008 01:22PM

Pay Day Loans is legalized Loan-Sharking. It is predatory lending designed to exploit poor people and clueless middle class types. I would be perfectly happy if all of them were shut down. Need money in a hurry? That's what a Pawn Shop is for.

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: Radiophile ()
Date: January 15, 2008 01:38PM

if you need some quick cash, see the donating plasma for money thread.

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: Gravis ()
Date: January 15, 2008 02:13PM

Fairfax MF---er Wrote:
-------------------------------------------------------
> Pay Day Loans is legalized Loan-Sharking. It is
> predatory lending designed to exploit poor people
> and clueless middle class types.


100% correct.


"the wisdom of the wise will perish, the intelligence of the intelligent will vanish."095042938540

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: 3Ply ()
Date: January 15, 2008 04:03PM

Fairfax MF---er Wrote:
-------------------------------------------------------
> Pay Day Loans is legalized Loan-Sharking. It is
> predatory lending designed to exploit poor people
> and clueless middle class types. I would be
> perfectly happy if all of them were shut down.
> Need money in a hurry? That's what a Pawn Shop is
> for.

Sure, take away the only source of credit available to many illegal immigrants. It is an underhanded way to make sure they can't eat or buy other goods so they will leave the area.

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: Native ()
Date: January 15, 2008 09:17PM

It is trully incredible to how much money a single office can make by issuing loans. It is usually operated by a very few employees that are usually the owners. Average APR is about 20%. I am sure that there is a statue or a period of time that they have to allow you should you not pay the loan back before turning you over to a collection agency. Collection agencies buy out unpaid loans, charged off credit cards ect ect and make their money that way. PayDay loans are a true rip-off and if you neglect paying them off you can end up paying double or triple then the oiginal amount borrowed.

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: Radiophile ()
Date: January 15, 2008 10:00PM

Native Wrote:
-------------------------------------------------------
> It is trully incredible to how much money a single
> office can make by issuing loans. It is usually
> operated by a very few employees that are usually
> the owners. Average APR is about 20%. I am sure
> that there is a statue or a period of time that
> they have to allow you should you not pay the loan
> back before turning you over to a collection
> agency. Collection agencies buy out unpaid loans,
> charged off credit cards ect ect and make their
> money that way. PayDay loans are a true rip-off
> and if you neglect paying them off you can end up
> paying double or triple then the oiginal amount
> borrowed.


20%???? Pay double or triple???? Try an APR that is in reality in the 100%s, and yes I meant 100s, of percent. The first word in APR in ANNUAL, meaning yearly. That is were the confusion lies. If you pay a 20% premium on a loan that in actuality matures in a couple of weeks, the Annual Percentage Rate (APR) is through the roof!

It is like "you job is your credit"... When you buy a car from them, you are buying a used car at well above blue book value and the dealership has their own lien on the car, plus they have a 2 or 3 companies insure their interest in your new used car. Default on the car loan, CA-CHING, they made money! Pay off your loan at the higher interest rate (your loan includes their insurance premiums) CA-Ching, they made money. It is a win-win situation for everyone else but you!
This is why the owner of one such establishment has a concealed carry permit!

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: WashingToneLocian ()
Date: January 15, 2008 10:12PM

3Ply Wrote:
-------------------------------------------------------

>
> Sure, take away the only source of credit
> available to many illegal immigrants. It is an
> underhanded way to make sure they can't eat or buy
> other goods so they will leave the area.


No. It will force the illegals to properly bank their money, which is a good thing. Most banks in the area would love to have their checking/savings accounts. All you need to set up the account is an ITN number that you can secure through the IRS whether you are a citizen or not.

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: Lurker.. ()
Date: January 15, 2008 10:15PM

I saw a PAYDAY commercial the other night and the guy said for $100 loan the cost was $15 a month. That would be 15% a month. Multiply that by 12 months and you get 180%. That's if the interest doesn't compound.

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: TheMeeper ()
Date: January 15, 2008 10:30PM

Multiply that by 12 months and you get 180%.

Percentage-wise it's really no different from loan sharking. Convince suckers to pay you 2-3 points every week while the principle just sits there unpaid. Without doing the math, 15%-monthly/185%-annual seems about right.

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: Be real ()
Date: January 15, 2008 10:59PM

The biggest push to end payday loans is from lobbyists for major credit card companies. The reason is obvious, if anyone is going to gouge people they want it to be them. And yes they do issue credit cards to illegal aliens. They have a don't ask don't tell policy as long as the money is rolling in.

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: Radiophile ()
Date: January 15, 2008 11:54PM

Lurker.. Wrote:
-------------------------------------------------------
> I saw a PAYDAY commercial the other night and the
> guy said for $100 loan the cost was $15 a month.
> That would be 15% a month. Multiply that by 12
> months and you get 180%. That's if the interest
> doesn't compound.


The interest does compound... And you add "fees" to it, say $15 to extend it to the following payday etc, it is easy to get the ANNUAL Percentage Rate in the 300-400% range and higher.

And Bank of America will give an account to people who carry a Mexico ID card that is issued by the Mexican Government to their citizens "living out of the country". So it is ignorance that keeps these companies raking in the dough.

I do like some of their commercials though; especially the one with the pretty blond chick, all smiles, working behind the counter. Now THAT is reality TV!

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: ITRADE ()
Date: January 16, 2008 10:07AM

3Ply Wrote:
-------------------------------------------------------
> The move to ban payday loans is racist. It is a
> way of ensuring that immigrants do not have a
> steady stream of income. This is simply a way of
> getting rid of immigrants in the guise of consumer
> protection!


Is that you, Vince?

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: native ()
Date: January 16, 2008 01:38PM

Where your job is your credit? I want to tomahawk that fucking native american from those eastern commercials.

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: bdimag ()
Date: January 16, 2008 04:47PM

its already about 400% off the break.. i've been inside.. i saw the sign... it opened up my eyes... and i left.

bi-weekly paydays means 26 checks a year... %15 * 26 = 390%


and yes, there really is a sign with the APR posted.. i wanna say it said 391% or maybe 371% something like that..

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: bdimag ()
Date: January 16, 2008 04:50PM

the max @ that place was $500... thats $75 a check.. thats $1950 they can make off one person a year...

(btw $1950/$500=3.9 or 390%)

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: Gravis ()
Date: January 17, 2008 09:09PM

3Ply Wrote:
-------------------------------------------------------
> Sure, take away the only source of credit
> available to many illegal immigrants. It is an
> underhanded way to make sure they can't eat or buy
> other goods so they will leave the area.


umm... wouldnt that be a good thing? i mean, the word "illegal" indicates they shouldnt be here in the first place.


"the wisdom of the wise will perish, the intelligence of the intelligent will vanish."095042938540

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: son of a... ()
Date: January 19, 2008 12:47PM

yes sirrrrrrr

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: Kevin T ()
Date: June 22, 2019 12:14PM

Loans are such a stupid thing, I don't understand, why people still believe that these credits or something like that will ever help them.... Do you really need money? Then go there to all slots mobile, it's a completely trustworthy site where you have the possibility to win a lot.

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: Henry Caz ()
Date: March 12, 2020 02:57PM

I don't agree that modern payday loan services are dangerous.

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: Mark Bitty ()
Date: March 14, 2020 10:00AM

Henry Caz Wrote:
-------------------------------------------------------
> I don't agree that modern payday loan services are
> dangerous.


I agree with you. I took loans many times and never had any problems. You just need to think about how and when you will be able to return money. Also I recommend to use only proven services with good conditions like https://cashwagon.ph/ and all will be good!

Options: ReplyQuote
Re: Payday loans in Danger?
Posted by: TracyMorninqe ()
Date: May 20, 2020 06:17AM

To answer your broader question, if you lose more than your margin deposit you will, in most cases, owe your broker the difference. There are some brokers with a “no negative balance” policy (or at least there was before the CHF issues last year). You’d want to check your broker agreement.
To lexys’ point, in the vast majority of cases like that you will not get to the point where you face a loss without review https://24biz.biz/reviews/121-pueblo-co-credit-union-of-colorado.php larger than your account balance (again, the CHF events being an exception). Either your own stop loss will get triggered, or an automated position closure would happen via your broker once a certain minimum level of available margin funds is reached.

Options: ReplyQuote


Your Name: 
Your Email (Optional): 
Subject: 
Attach a file
  • No file can be larger than 75 MB
  • All files together cannot be larger than 300 MB
  • 30 more file(s) can be attached to this message
Spam prevention:
Please, enter the code that you see below in the input field. This is for blocking bots that try to post this form automatically.
 ********   **      **  **     **  **          ******   
 **     **  **  **  **  **     **  **    **   **    **  
 **     **  **  **  **  **     **  **    **   **        
 **     **  **  **  **  **     **  **    **   **   **** 
 **     **  **  **  **   **   **   *********  **    **  
 **     **  **  **  **    ** **          **   **    **  
 ********    ***  ***      ***           **    ******   
This forum powered by Phorum.