The payday loan institutions that operate outside military bases have found loopholes in existing law and created new lending scams to prey on servicemembers, federal and state regulators warned Congress last week.
"There are scoundrels out there and they have to be uncovered," Sen. Jay Rockefeller, D-W.Va., chairman of the Senate Commerce Committee, said Thursday at a hearing on predatory lending practices aimed at the military.
Young servicemembers make appealing targets for "unscrupulous" businessmen who hide interest rates that can exceed 300 percent in the fine print and threaten to disclose the debts to commanders to exact payment, Rockefeller said.
These companies are legalized Mafia loan sharks. They've been BANNED in several states. The other states, well, their "representatives" have been sufficiently "compensated" (bribed) to look the other way.....
But republicans keep fighting regulations, let the market free. See what happens.
ReplyDeleteThese companies are legalized Mafia loan sharks. They've been BANNED in several states. The other states, well, their "representatives" have been sufficiently "compensated" (bribed) to look the other way.....
ReplyDelete