Senator Collins’ Committee Examines Predatory “Payday” Loans Issued by Online Lenders

Senator Collins’ Committee Examines Predatory “Payday” Loans Issued by Online Lenders

Maine Bureau of Credit Rating Protection Official Testifies Ahead Of The Senate Aging Committee

WASHINGTON, DC—Even https://personalloancolorado.com though Maine laws and regulations prohibit the sort of abusive, extremely high-interest, short-term financing practices frequently linked with “payday” loans, this sort of unscrupulous financing nevertheless happens in Maine through Internet-based lending companies, driving numerous customers even more into debt. The Special Committee on Aging, of which Senator Collins may be the Ranking Member, analyzed dilemmas associated to payday loans and deposit advance products within a hearing entitled, “Payday Loans: Short-Term Solution or Long Term Problem? ”

Eric Wright, an employee Attorney when it comes to Maine Bureau of credit Protection testified concerning the unpleasant prevalence of online financing that Maine consumers have actually faced. Based on Wright, their division receives calls that are daily Mainers victimized by these on line loan providers.

Senator Collins, whom formerly served as Maine Commissioner of pro and Financial Regulation and oversaw the Maine Bureau of credit rating Protection within the McKernan Administration stated, “We are lucky that Maine’s legislation prevent abusive ‘payday’ loans, that may commit borrowers to spending almost 400 per cent percentage that is annual, and also greater, on short-term loans. Read More