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Archive for the ‘Predatory News’ Category

NC, Fee Disclosure, Canadian Hero

Thursday, November 15th, 2007

North Carolina Must Be Stopped: A report released on 11/13 (the same day the PLA website launched) shows what happened when North Carolina banned payday loans. Apparently, citizens in North Carolina report they are better off without payday loans. They are wrong. Read more.

The CFSA Announces “Unprecedented Fee Disclosure Policy:” The Community Financial Services Association (CFSA) today announced that they will have poster-size fee displays in all payday loan shops. Don’t worry, the CFSA are our predatory brethren, just in sheep’s clothing. We are considering three responses:

  1. Big posters, tiny font: We notice there is no font size requirement from the CFSA so we may recommend very large posters with a tiny font size of 6 points or less.
  2. Follow the SCCFM lead: We may reject the CFSA’s call for poster-size fee disclosures and instead follow the lead of the Society for Credit Card Fee Maximization (SCCFM) and reduce the font sizes as much as possible.
  3. Skywriting: We are considering hiring skywriters to write 400% APR in the sky above our payday loan shops. You see, the issue of whether customers understand the fees is irrelevant. When people are in crisis they will pay any interest rate.

Leo Sorenson Proves Canadians Aren’t All Naïve Socialists: Leo Sorenson, owner of 30 payday loan shops in Canada, courageously charges 720% APR to his customers. Leo is an expert predator, using our well-known scare tactic of threatening to close down loan shops if regulations are passed. Leo managed to scare the Canadian government by threatening to fire only 10 employees. Leo, you’re probably a predatory poker player too—excellent bluff!