VPLC Supports Legislation Regulating Line of Credit and Open-end Credit Lenders

Virginia law regulates payday and car title lenders by allowing them to charge extremely high interest rates in exchange for requiring them to be licensed and putting some restrictions on their business practices. Many storefront payday lenders have switched to open-end or line of credit loans to avoid any regulation. Many internet lenders are also […]

Adding Internet Lending to Virginia’s Consumer Finance Act – SB 1126 & HB 1443

   SB 1126 and HB 1443 simply clarify existing Consumer Finance Act applies to loans made over the Internet to Virginians    HB 1443 (Patron: Delegate Peter Farell-R) and SB 1126 (Patron: Senator Scott Surovell-D ) make it clear that the Virginia Consumer Finance Act applies to loans over the internet to Virginians.    The language […]

Here is what we have learned about internet loans from callers to our predatory loan hotline

Here is what we have learned about internet loans from callers to our predatory loan hotline  866-855-4501   The interest rates are unbelievable and borrowers can’t repay  “Only later did I realize the 6-month $900 loan would actually end up costing me $3,019 at an interest rate of 638%.” “I borrowed $525 …When I saw […]

What We Have Learned About “Line of Credit Loans” from Our Hotline Callers

Here are the lessons we’ve learned directly from borrowers’ experiences with open-end, “line of credit” loans.  866-855-4501  Borrowers get caught in a debt trap “I kept paying and paying and paying on it, but the balance never went down. After a year and a half of never missing a payment, my balance was higher than […]

VPLC Supports the 2013 SAFE Lending Act

Many online lenders think they are immune to state laws  – The Stopping Abuse and Fraud in Electronic Lending Act of 2013 (SAFE Lending Act) aims to change that.  The Virginia Poverty Law Center supports the legislation to combat internet payday lenders from skirting Virginia law.  Read VPLC’s press release on this issue. The SAFE Lending […]

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