Consumers Can Learn About Their Rights and Protections As Borrowers
Houston, TX -- (SBWIRE) -- 09/26/2012 -- MyPaydayLoans.com is expanding its online educational library with the addition of a new article entitled “Lending Policy.” This article has been designed to help would-be borrowers better understand their rights and obligations when taking out a cash advance. Readers of the piece can learn about federal fair lending policies, which were created to ensure that consumers are protected during the entire loan process. For example, the Dodd-Frank Wall Street Reform Act ensures nondiscriminatory lending, while the Fair Debt Collection Practices act guarantees that borrowers who default on their payments won’t be harassed or threatened by collectors.
“With our new educational article, it doesn’t take long to read about the rules and policies that govern the cash advance industry,” says company spokesperson Christina Hanson. “And those few minutes spent learning about them can have a huge impact on the financial outlook of a borrower. They will see that legitimate lenders are going to be transparent in disclosing their practices, fees and loan terms, and that they are not going to engage in predatory collection practices.”
MyPaydayLoans.com works only with lenders of payday loans online who have agreed to respect fair lending practices. As part of this endeavor, lenders must provide prospective borrowers with detailed information regarding interest rates, rollover fees and limits, maximum loan terms, late fees and penalties, and presentment limits, among other things. This information must be provided at the time a loan offer is made. Failure to disclose any of this constitutes a violation of the Truth in Lending Act.
Cash advances are short-term loans that are supposed to be repaid on the borrower’s next payday. This usually will be either two or four weeks from the time the money is borrowed. Once consumers apply for a loan on the MyPaydayLoans.com website and are preapproved for assistance, they are connected with a number of lenders, who then make competitive loan offers. These offers can vary around the country as a result of different states having different state-specific lending rules and regulations that they impose. Consumers are advised to spend time carefully reviewing the offers they get before signing anything. Once a loan offer has been accepted, lenders cannot introduce changes or add extra fees to the loan.
In order to qualify for a cash advance, an applicant should be 18 years of age or older, earn a steady monthly income of at least $1,000 after taxes, and be able to provide proof of that income. Additionally, loans are only extended to those who are U.S. citizens or permanent residents and who can provide a valid phone number and email address. Since loans are delivered electronically once approved, the applicant must also have a valid bank account in their name
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