interest rates http://soundzine.net/ Sat, 26 Mar 2022 04:34:56 +0000 en-US hourly 1 https://wordpress.org/?v=5.9.3 https://soundzine.net/wp-content/uploads/2021/09/cropped-icon-32x32.png interest rates http://soundzine.net/ 32 32 Top 7 most hateful characters in Russian literature https://soundzine.net/top-7-most-hateful-characters-in-russian-literature/ Tue, 19 Oct 2021 07:00:00 +0000 https://soundzine.net/top-7-most-hateful-characters-in-russian-literature/ 1. Nikolai Stavrogin from ‘Demons’ by Fyodor Dostoyevsky Stavrogin is the personification of the darker side of human personality. There is probably no character in the novel that Stavrogin wouldn’t hurt, seduce, insult, offend, or destroy. Actor Maksim Matveev as Nikolai Stavrogin Vladimir Khotinenko/Non-stop production, 2014 “I was also struck by his face: …it looked […]]]>

1. Nikolai Stavrogin from ‘Demons’ by Fyodor Dostoyevsky

Stavrogin is the personification of the darker side of human personality. There is probably no character in the novel that Stavrogin wouldn’t hurt, seduce, insult, offend, or destroy.

“I was also struck by his face: …it looked like he was a handsome man, but, at the same time, he looked disgusting. They said his face looked like a mask,says the narrator, describing the protagonist. Russian philosopher Nikolai Berdyaev considered Stavrogin the most mysterious fictional character in world literature.

The picture of a “charming demonwas created by Dostoyevsky with incomprehensible artistry. Stavrogin has an exceptional mind and a bruised soul. He is an anti-hero, a man of a thousand faces, a psychopath, a manipulator and a serial womanizer.

“…He’s a whole social type (in my opinion), our type, the Russian, an idler who doesn’t want to be idle, but who once dearly loved has lost everything and, above all, faith; depraved with melancholy, but conscientious and making convulsive anguished efforts to refresh himself and begin to believe again…” Dostoyevsky wrote about Stavrogin.

READ MORE: 5 reasons why Dostoevsky is so great

2. Victor Komarovsky from “Doctor Zhivago” by Boris Pasternak

Komarovsky is the embodiment of evil. Lecherous and sinful, Komarovsky, who is a well-to-do Moscow lawyer, is a magnet for weak women.

Actor Oleg Yankovsky as Victor Komarovsky

There is no room for taboo subjects for the middle-aged man, who is described as a “confident, strong and arrogant person…”. This description fits Komarovsky like a glove. He first seduces the widow of a Belgian engineer, then he molests his 16-year-old daughter, Lara. A man of no principles, Komarovsky uses people like casino chips to achieve his goal. Once a person has fulfilled their “role”, they can be instantly dismissed. Komarovsky is not only a lawyer, but also a schemer and politician, who wants personal gain from just about anything. During World War I, he maintained good relations with liberal politicians and socialists. An egocentric career, Komarovsky would make any deal with his conscience to achieve the desired result.

3. Iudushka from ‘The Golovlyov Family’ by Mikhail Saltykov-Shchedrin

Porphyry Golovlyov, alias Iudushka (or “little Judas”) is one of the central characters in the novel “The Golovlyov Family” by Mikhail Saltykov-Shchedrin. His reputation precedes him: A vile man, traitor, tyrant and parasite, he is incapable of empathy and ready to betray anyone for his personal gain.

Actor Yevgeny Mironov as Porfiry Golovlyov during a performance directed by Kirill Serebrennikov at the Moscow Art Theatre.

the eyes of Judas “give off an enchanting poison”, while its “the voice, like a snake, crawls into the soul and paralyzes the will”. The hypocritical man, nicknamed “Judas the Bloodsucker”, is a member of a bitterly dysfunctional Russian family plagued by excessive drinking, despair and madness. Driven by extreme greed, hatred and cruelty, “little Judas” will single-handedly lead all his loved ones to death without the slightest remorse. “Unlimited neglect has become the dominant characteristic of his relationship to himself. A long time ago he became fascinated by this total freedom from all moral restriction…”

4. Alyona Ivanovna from ‘Crime and Punishment’ by Fyodor Dostoyevsky

The old pawnbroker of Dostoevsky’s unparalleled tour de force lives on wear and tear.

Actress Vera Karpova as Alyona Ivanovna

Alyona Ivanovna, who most likely suffers from tuberculosis, because she coughs all the time, sets up something resembling a pawnshop in her home. She lends money at huge interest rates in exchange for jewelry and valuables.

Dostoyevsky does not hide his contempt, describing her as a “dry old woman with evil piercing eyes and a small pointed nose… Her slightly gray blond hair was greased with oil… She was so small and ugly…”

Her clients call her “a terrible bitch” and hate her like a sin. If someone is even one day late with redeeming the pledged property, the capricious old woman does not allow the person to redeem their pledge. She treats her younger sister Lizaveta (who is pregnant) like a doormat. According to Rodion Raskolnikov, it is the “cause of suffering” for many people.

5. Alexei Shvabrin from “Captain’s Daughter” by Alexander Pushkin

Alexei Shvabrin is the antonym of decency, rectitude and fair play. He makes romantic advances to the captain’s daughter, Masha Mironova and even proposes to her, but refuses to take “no” for an answer.

Actor Sergei Makovetsky as Alexei Shvabrin

Pushkin describes Chvabrin as a “young officer of small stature, with a dark complexion and a superbly ugly, but extremely lively face”. Slanderous, but also vindictive and bitterly wicked, he makes offensive jokes about the young woman in revenge. When the Pugachev revolt occurs, Shvabrin, who is a born liar, acts like a traitor and joins the rebels to save his bacon.

READ MORE: Top 5 books Pushkin liked to reread

6. Marfa Kabanova from ‘The Storm’ by Aleksandr Ostrovsky

Marfa Kabanova could probably go down in the history books as the most nightmarish mother-in-law ever! A cruel and heartless old witch, she is jealous of her son’s love for his young and beautiful wife Katerina.

Actress Olga Tumaikina as Marfa Kabanova in a performance directed by Ulanbek Bayaliev at the Vakhtangov Theater.

The wealthy widow is constantly dissatisfied with something and keeps her whole family in terror and fear. Kabanova rules the house with an iron fist and offends her two children, Tikhon and Varvara, as well as her poor daughter-in-law, whom she ends up driving to suicide. “If you are not afraid of me, what kind of order will there be in the house?” Kabanova wonders. She’s fanatically religious, but that’s just for show. Gestures of forgiveness, compassion and mercy are totally foreign to his nature.

7. Sharikov from Mikhail Bulgakov’s Heart of a Dog

Poligraf Poligrafovich Sharikov is not your average neighbor. A doomed bastard nicknamed “Sharik” finds his new home in the spacious Moscow apartment owned by the world-renowned surgeon.

Actor Vladimir Tolokonnikov as Sharikov

Professor Preobrazhensky embarks on a Frankenstein-like experiment and transplants a human pituitary gland into a stray dog. While the experiment is a huge success, the bad news is that the poor animal turns into a veritable bastard who is only able to drink, smoke and swear. “The most horrible thing is that he no longer has the heart of a dog, but the heart of a man. And the ugliest of all that exists in nature,” said Professor Preobrazhensky.

Comrade Sharikov is the Bolshevik type of man to the core. short and “unsympathetic in appearance”, he is so indecent and reckless that he almost makes you cringe. Like a leopard that never changes its spots, Sharikov behaves like a savage even after officially becoming a man. His range of interests is very predictable. He finds his true aesthetic calling as a Soviet official responsible for purging Moscow of cats.

READ MORE: 3 KEY reasons why you should read Bulgakov, the creator of Master and Margarita

If you use content from Russia Beyond, in part or in whole, always provide an active hyperlink to the original content.

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Google’s advertising ban puts payday lenders on the defensive https://soundzine.net/googles-advertising-ban-puts-payday-lenders-on-the-defensive/ https://soundzine.net/googles-advertising-ban-puts-payday-lenders-on-the-defensive/#respond Tue, 09 Mar 2021 11:34:57 +0000 https://soundzine.net/googles-advertising-ban-puts-payday-lenders-on-the-defensive/ Google made headlines announcing a payday loan ban announcements from July 13. Quick fix loans charging triple-digit rates seem to be viewed by Google and others with the same social stigma as other dangerous products banned from advertising, such as cigarettes. So, can the payday loan see any kind of redemption? Not likely anytime soon. […]]]>


Google made headlines announcing a payday loan ban announcements from July 13.

Quick fix loans charging triple-digit rates seem to be viewed by Google and others with the same social stigma as other dangerous products banned from advertising, such as cigarettes.

So, can the payday loan see any kind of redemption? Not likely anytime soon.

In June, the Consumer Financial Protection Bureau is expected to roll out new federal rules to tackle blatant practices involving short-term lending. After regulators hold a three-month comment period, the landscape may change. A few think that a new alternative loan could come up.

President Obama’s administration has targeted payday loans, among other questions, about its regulatory agenda.

The Consumer Financial Protection Bureau will hold a field hearing on June 2 small dollar loans in Kansas City, Mo. Small dollar loans may have annualized interest rates in excess of 300%. The proposed rules for payday loans, auto title loans and certain installment loans are expected to be published in Kansas City.

Payday loans are one of those things that people know are not good for them, but they still turn to them in a traffic jam. Many consumers, including Millennials, need every paycheque to cover their bills in tough economic times. And then the boss makes matters worse by reducing their hours and the pay ends up even smaller.

CFPB: Online Payday Loans Hitting Consumers With Hidden Risk

Or maybe a car repair or vet bill throws a wrench in the budget. More than 19 million U.S. households use payday loans for short-term credit, according to the industry.

A payday loan is often used by someone who has run out of credit card or is at max and can’t borrow more money on plastic.

To get a payday loan, you often write a post-dated check for the amount you want to borrow, say $ 300 plus a $ 40 fee. The check is made payable to the lender. Or you can allow the lender to debit your account on a fixed date. The loan term can often be 14 days.

When this time is up, the lender must get all the money back – the amount you borrowed plus fees. Finance charges and fees will increase if you cannot repay the loan and fees in full.

Almost 50% of Millennials don’t think they could shell out $ 2,000 if an unforeseen need arises in the next month.

Millennials are heavy users of alternative financial services, such as payday loans and pawn shops, according to a study by the Global Financial Literacy Center at George Washington University with support from PwC.

In the past five years, 42% of Millennials have used an alternative financial product, according to the Millennials & Financial Literacy Report.

Payday lenders say the need is there and have criticized CFPB’s decision to regulate what some call “fringe financial services”.

Jamie Fulmer, Senior Vice President of Public Affairs for Advance America, called the initial insight that CFPB rolled out in March 2015 a “draconian proposal that will lead to the elimination of the industry”.

Fulmer argues that no alternative to traditional payday loans exists and likely won’t exist because banks are pushing too much on overdraft fees to want to create another kind of product. (The CFPB is considering new rules for overdraft fees, as well as payday loans.)

Advance America maintains that many consumers have been burnt by hidden fees in banks and prefer non-bank lenders.

Tony Collins, 48, said he no longer had a credit card. So he took out a $ 200 payday loan in mid-May to cover a utility bill.

“I don’t do credit cards. They’re predators. They’re much worse than that,” said Collins, who lives in Oak Park, Michigan, and works for a steel company.

“After the way the banks made us seven years ago, I don’t trust them anymore,” he said.

Collins was scheduled to work 72 hours this week, so making money isn’t a problem at the moment. But his bills are higher – money was needed for a stepson’s high school graduation and prom, car repair, higher health insurance costs at work .

Collins paid $ 29 to borrow $ 200 and he paid it off within a week. It was his first time taking out a payday loan, he said. Many payday loan stores dot malls, he said, as many people with much lower incomes have a harder time paying their bills.

Consumers who use payday loans receive information and warnings about the costs and their fees in Michigan.

Is there a way to prevent consumers from falling into the debt trap if they can’t pay off the payday loan with the very next paycheck? Maybe a happy medium where some short term loan options charge a lot less than traditional payday lenders?

“Millions of people are looking for a small loan to pay their bills,” said Nick Bourke, director of the Small Loans Project for Pew Charitable Trusts.

He wants to see the federal consumer watchdog adopt a proposal that the payment on alternative loans cannot exceed 5% of a borrower’s gross monthly income. The loan would be repaid over a few months, not on the next paycheck.

Bourke said the typical payday loan borrower has a bank account and a paycheck, possibly from a factory or retail job. And the average consumer can earn $ 30,000, or about $ 15 an hour.

Some have problems because their income increases by 25% or more each month due to the working hours.

We’re hearing more rumors that the big regional banks might offer alternatives, according to reports in the American banker. Some say that a new lower cost installment loan could be charged up to six times cheaper than some payday loans.

Any new product would depend on the rules proposed by the CFPB.

Tom Feltner, Director of Financial Services at Federation of Consumers of America,wants the CFPB to require short-term lenders to assess a borrower’s income – and expenses – when taking out a payday loan.

Feltner said more stringent underwriting is needed because some consumers won’t be able to pay off a payday loan anyway, as regular bills already take a large chunk of their paycheck.

Any additional problem can derail a tight budget.

Many states have placed limits on fees. A payday loan showcase at Michigan can charge $ 65 for a two week loan of $ 500.

Or a customer who borrows $ 100 from a Michigan storefront will be charged up to $ 15 for a two-week loan (the payday lender may provide a shorter or longer period – up to 31 days). The customer writes a check for $ 115 and immediately receives $ 100 in cash. But the annualized percentage rate would approach 390% for a two-week loan with a $ 15 fee. In Michigan, the payday lender may charge an additional database verification fee of 45 cents per transaction.

The costs add up, as many loans are not paid off in two weeks and more loans are taken out. The average borrower can be in debt for five months. Some consumers may pay $ 700 in fees over time on what starts out as a $ 500 payday loan.

As the discussion of payday loans continues, it is clear that no easy solutions will emerge for those with big bills, small paychecks, and no savings.

Contact Susan Tompor: stompor@freepress.com or 313-222-8876. Follow her on Twitter @Tompor.

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How new laws are pushing predatory loan sharks closer to extinction https://soundzine.net/how-new-laws-are-pushing-predatory-loan-sharks-closer-to-extinction/ https://soundzine.net/how-new-laws-are-pushing-predatory-loan-sharks-closer-to-extinction/#respond Tue, 09 Mar 2021 11:34:57 +0000 https://soundzine.net/how-new-laws-are-pushing-predatory-loan-sharks-closer-to-extinction/ Amid fears of growing financial hardship across New Zealand, a global campaign against high-interest lenders appears to be gaining traction. Payday lenders, truck shops, loan sharks: the names alone are enough to conjure grim images of shady operators and con artists hiding in dark spaces to prey on the financially vulnerable. While reality isn’t always […]]]>

Amid fears of growing financial hardship across New Zealand, a global campaign against high-interest lenders appears to be gaining traction.

Payday lenders, truck shops, loan sharks: the names alone are enough to conjure grim images of shady operators and con artists hiding in dark spaces to prey on the financially vulnerable. While reality isn’t always so cinematic, their business models don’t do much to improve common perception.

High cost lenders are known for their opportunistic advertising and for offering quick and easy loans to people, often without ensuring that they are able to repay the money. With interest on loans sometimes reaching 600% per year, debt can easily spiral out of control and destroy lives, pushing people into a deep hole from which it may be impossible to get out.

As New Zealand enters an economic recession and unemployment is expected to peak at 10% next year, there are fears that vast waves of financially struggling households will be seduced by the quick and convenient money from payday lenders. , resulting in crippling debt and widespread poverty.

This is why, a few months ago, the government accelerated a bill to hamper high interest rate loans. The An Act to amend the legislation on credit contracts – which was passed in 2019 but came into effect in May this year – has a number of new restrictions, the most important of which is the interest and fee cap which prevents someone from being charged more than 100% the value of any amount borrowed. This means that if a person borrows $ 500, they will never have to repay the lender more than $ 1,000, including fees and interest.

Payday lenders and trucking shops are also now required to make reasonable inquiries into the financial condition of the borrower to ensure that he is able to repay the loan without significant hardship and that the loan is likely to fall. meet their needs. Truck stores, in particular, must also assess the affordability of customers before selling merchandise on credit.

With violators facing a $ 600,000 fine, the new rules are apparently too onerous for some high-cost lenders, forcing them out of the market since the legislation came into effect. Checkers Finance says on its website that it is no longer issuing loans due to government crackdown, while the pawnshop and payday lender Cash Converters announced in June that it was closing four stores and laying off 80 employees because of the new laws.

As for other payday lenders operating in New Zealand, some have since expanded their models so that they now charge just below the 50% interest that is a high cost loan. Moola, one of the largest in the country, now describes itself as a responsible lender on its website and has applied the interest cap in its loan calculator. Meanwhile, Christchurch-based Save My Bacon argued it was already moving away from payday lending long before the new rules came into effect.

“The company – even before the legislative changes – transformed the business from high cost loans and more to longer term flexible loans with low interest rates,” said Tracey Gillman, CEO of Save My Bacon.

With such changes in the market, the pressure certainly seems to be paying off. However, Tim Barnett, CEO of the financial capability body Fincap, said it is not only the interest cap, but also the power and awareness of borrowers that is influencing the landscape.

“[Payday lenders] relied on people who were wrong and complained and they relied on poor supervision to make their models work, ”he said.

Under the Law Amending the Law on Credit Agreements, borrowers who have obtained unaffordable or unsuitable loans will now be able to claim legal damages under dispute resolution programs, which could include repayment of all debts. interest and costs and compensation for any damage. Lenders are also required to pass a “fit and suitable person” test and submit statistical information about their business to the Trade Commission on an annual basis.

Barnett said these demands along with the government’s serious efforts to raise awareness “are setting a new standard.” The legislation is now very similar to that of the United Kingdom which has been very successful in forcing payday lenders to adapt or exit the market altogether.

There are fears, of course, that by ensuring that loan sharks lend responsibly and by examining the financial situation of borrowers, desperate borrowers will be pushed back and forced to seek loans from even more nefarious sources like gangs.

To deal with such a risk, the government was invest significant resources in financial capacity services to form a kind of safety net – a place where people can always go to find a solution to their money problems. This includes financial mentoring services like Money talks – a free helpline where people can discuss their finances and make a plan to get out of debt or access responsible loans. There are also nonprofits funded by banks that offer responsible loans without interest or at low interest rates to those in financial difficulty, such as Kiwibank-championed. Ngā Tāngata and supported by BNZ Good shepherd.

Good Shepherd CEO Fleur Howard said she fully supports the move against loan sharks, who often lead people to find a quick fix in the world of long-term money problems.

“We strongly believe that the disadvantages of these high cost loans far outweigh the advantages,” she said.

“With these choices, people looking for these loans are now more likely to access a service like ours that has positive results in terms of a fair and short-term financial solution, while contributing to longer financial capacity. term and well-being, or decide to access a much longer-term solution such as financial mentoring.

While many lenders have obeyed the new laws, it remains to be seen whether or not there will be a lot of enforcement from operators who choose to flout them. The Trade Commission confirmed that it is still assessing lenders’ compliance with the legislation, but has not opened any investigation into alleged violations of the new rules on high-cost loans.

In the meantime, he has called for some scalps in recent successful court cases against payday lenders for breaking the old law on credit agreements in recent years.

In separate cases, lenders Ferratum and Pretty Penny were convicted of violating responsible lending requirements and failed to ensure their loan agreements were not oppressive. The two were ordered to repay the borrowers and Pretty Penny has said she will be pulling out of New Zealand in her settlement agreement.

High cost lenders have a habit of reincarnating like other businesses, and Pretty Penny could very well reappear in another form. Either way, a few valuable payday loan skins nailed to the wall send a very strong message to those looking to issue a 600% interest loan.


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Payday lenders in Canada are using the internet as a way to get around the laws https://soundzine.net/payday-lenders-in-canada-are-using-the-internet-as-a-way-to-get-around-the-laws/ https://soundzine.net/payday-lenders-in-canada-are-using-the-internet-as-a-way-to-get-around-the-laws/#respond Tue, 09 Mar 2021 11:34:57 +0000 https://soundzine.net/how-payday-lenders-are-using-the-internet-to-evade-the-laws-in-canada/ Canada is taking measures to crackdown on payday lenders. Payday lenders can’t open stores or get business licenses across Canada. These regulations were established to stop payday loan borrowers falling for loans with high interest rates, hidden fees, and other shady practices. Payday lenders online Many payday lenders can get around the municipal level. Regulations. They are simply setting […]]]>

Canada is taking measures to crackdown on payday lenders. Payday lenders can’t open stores or get business licenses across Canada. These regulations were established to stop payday loan borrowers falling for loans with high interest rates, hidden fees, and other shady practices.

Payday lenders online

Many payday lenders can get around the municipal level. Regulations. They are simply setting up an internet payday loan company, where the municipal laws don’t apply. Champion Lender, have full rights to market to Brampton, Toronto, or other Canadians, without municipal oversight. Mon won’t be affected by any laws that apply to payday lenders if they are online only.

Advertisements by payday lenders in a given area of Canada are not always indicative that they exist. This simply means that lenders are targeting Canadian customers. These people are usually low-income and rely heavily on loans to pay their bills, or to fund an emergency fund. These people are vulnerable to predatory lenders online who will try to cheat city regulations to offer them a treat.

Payday loans available anywhere

A payday loan website could be based in one city, province, town or other area. They might not be based there. It is crucial to check the details at the bottom of the page to confirm their exact location. Often, they will not both be from the same area. They will likely be located somewhere with easier loan regulations.

Online lenders may not be licensed in the locality they are located. where they will market their loans to the public. To find out more about the license details of the lender, click the link to the privacy policy/terms of use at the bottom of the lender’s website. Sometimes, the lender might not even be licensed. Only trust licensed businesses in your area.

Canada does not have any laws that prevent payday lenders from being offered in Canada. This means federal agencies can monitor the activities of these companies. This is not always the truth. If enough people have complained, an agency can only investigate an online payday lender. Otherwise, surveillance won’t be taken seriously. Each province in Canada has its own set of rules to protect payday lenders. These rules define the maximum fees and penalties that may apply for a borrower from a provincial. This problem can often be avoided with online lenders who offer many options. Online lenders are able to offer loans to individuals from different parts of the country. They don’t have the same requirements as payday loan lenders within the same area.

Unauthorized lenders

It’s a fact that not all unlicensed lender are known. Unlicensed lenders don’t require you to repay them. Canadian law requires that every lender has a license. So if you default on

Payday loans by unlicensed companies is illegal. They can’t sue you as they already broke the law. They hope that you will pay them interest in the thousands or hundreds.

First, you have to make the payments on the small loan that they provided. Then you can finally see the truth.

Unlicensed lending may allow them to operate from overseas locations such as the Cayman islands. Canadians may think they are dealing with a payday loan lender. They will however be referred at minimum two other lenders.

They visited three websites as part of their troubleshooting inquiry. They are now aware that they are dealing with a foreign lender and do not have to comply with Canadian laws.

Conclusion

Payday loans are not necessarily bad. You should do your research before you apply for one. Research as much information as you can about the lender, as well as the terms of the loan. The lender must be located in Canada and offer reasonable terms.

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CFPB revokes payday loan restrictions designed to protect borrowers https://soundzine.net/cfpb-revokes-payday-loan-restrictions-designed-to-protect-borrowers/ https://soundzine.net/cfpb-revokes-payday-loan-restrictions-designed-to-protect-borrowers/#respond Tue, 09 Mar 2021 11:34:57 +0000 https://soundzine.net/cfpb-revokes-payday-loan-restrictions-designed-to-protect-borrowers/ Getty The Consumer Financial Protection Bureau (CFPB) will now make it easier for payday lenders to extend short-term, high-interest loans to customers who may not be able to repay them. The office’s final review of an Obama-era rule is provoking heated reactions from consumer advocates and members of Congress. CFPB rejects Obama-era payday loan rule […]]]>

The Consumer Financial Protection Bureau (CFPB) will now make it easier for payday lenders to extend short-term, high-interest loans to customers who may not be able to repay them. The office’s final review of an Obama-era rule is provoking heated reactions from consumer advocates and members of Congress.

CFPB rejects Obama-era payday loan rule

The CFPB released its latest revision of a 2017 payday loan rule on Tuesday. The revision removes a provision requiring payday lenders to prove that customers can afford to pay off a short-term loan in full within two weeks. The process used to determine the affordability of payday loans was similar to the underwriting processes required by banks to determine whether customers can afford mortgages or other long-term loans.

“Our actions today ensure that consumers have access to credit in a competitive market, have the best information to make informed financial decisions and maintain key protections without impeding that access,” said CFPB Director Katy Kraninger, in a written statement.

Payday loans are high interest rate loans marketed as short term loans for people who need cash to hold them until their next paycheck. In theory, a consumer should be able to fully repay the loan on their next payment, but this is rarely what happens.

Payday loans come with confusing terms that often add up to extremely high, usually triple-digit interest rates called “true annual percentage rates.” For example, these loans usually come with monthly maintenance fees and origination fees which are then added to their annual interest rates.

Average interest rates for payday loans vary, as each state regulates these types of loans differently. A typical payday loan in Texas, for example, has an interest rate of 661%, according to the Center for Responsible Lending; in Oregon, the interest rate is 154%.

Consumer advocates respond to revised CFPB rules

Consumer advocates say the new CFPB revision is damaging American consumers.

“In this time of health and economic crisis, the CFPB has mercilessly embraced an industry that charges up to 400% annual interest and deliberately grants loans that put people in a debt trap,” said Lauren Saunders , Associate Director of the National Consumer Law Center. (CLB). The CFPB has no basis to gut the heart of common sense protections that simply required payday lenders to do what responsible lenders already do: ensure the borrower has the capacity to repay.

Almost 12 million Americans take out a payday loan each year, with the typical borrower earning only $ 30,000 per year. According to the Center for Financial Services Innovation, about 58% of payday loan borrowers have difficulty meeting basic monthly expenses such as rent and utility bills.

Payday loans are seen as a viable source of credit for low income consumers who do not qualify for loans at better rates. But these borrowers often find themselves trapped in a vicious cycle of payday lending. Three quarters of all payday loans are taken out by borrowers who have took out 11 or more loans in one year, and most of the renewed loans are subscribed within two weeks following the reimbursement of a previous one.

The Pew Charitable Trusts, which has a dedicated consumer credit team, also criticized the CFPB’s decision.

“The 2017 rule worked. Lenders were starting to make changes even before it officially took effect, safer credit was already starting to flow and bad practices were starting to fade away, ”said Alex Horowitz, senior research manager for the project. Pew Consumer Credit. in a written statement. “Today’s action puts all of this at risk.

Trump administration targets other financial and regulatory rules

The revised CFPB rules are one of many regulatory changes under the Trump administration that give consumers more choice or less protection, depending on who you ask.

The administration previously relaxed regulations on the financial services industry by overturning the Obama-era fiduciary rule and recently replacing it with Regulation Best interest, which some advisers say doesn’t do enough to protect consumers from conflicting financial advice from brokers, who make commissions based on certain recommendations. Proponents say this gives consumers more freedom to choose a broker based on their needs.

In addition, the CFPB has suffered a long legal battle in recent years. The Trump administration has long argued that the office is too powerful by having a director who can only be removed for certain wrongdoing. Last week, the Supreme Court ruled that the director of the CFPB can be sacked at will, but the office itself is here to stay.

In April, the New York Times published a report claiming that the CFPB manipulated its own research process to help justify the payday loan rule review. Senator Sherrod Brown (D-OH), Senior Member of the US Senate Committee on Banking, Housing and Urban Affairs mentioned the report in a press release shortly after the CFPB announcement.

“Today, the CFPB gave payday lenders exactly what they paid for by ousting a rule that would have protected American families from predatory loans that trap them in debt cycles,” Brown said. “This new rule – and recent reports that politician appointees have manipulated research to support the new rule – show how far the CFPB, led by Director Kraninger, will go to protect the president’s business cronies. Trump rather than consumers. “

Read more: The real cost of payday loans

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Cost of living: Instagram influencer shares tips for paying off debts https://soundzine.net/cost-of-living-instagram-influencer-shares-tips-for-paying-off-debts/ https://soundzine.net/cost-of-living-instagram-influencer-shares-tips-for-paying-off-debts/#respond Tue, 09 Mar 2021 11:34:57 +0000 https://soundzine.net/cost-of-living-instagram-influencer-shares-tips-for-paying-off-debts/ Faced with debts of over $ 50,000, a 29-year-old Brisbane woman now has almost enough savings for a house deposit. In the age of buy it now, pay late, payday loans and easy credit, the number of Australians drowning in debt is on the rise. Personal debt skyrocketed to nearly $ 3 billion last year […]]]>

Faced with debts of over $ 50,000, a 29-year-old Brisbane woman now has almost enough savings for a house deposit.

In the age of buy it now, pay late, payday loans and easy credit, the number of Australians drowning in debt is on the rise.

Personal debt skyrocketed to nearly $ 3 billion last year and, according to Reserve Bank of Australia payment data, $ 205 million in new debt was added to credit card balances just in December.

But a group of money-savvy Australians are turning their backs on debt and using social media to share their financial successes and inspire others to write off their debts.

One of those who have made a name for herself in this thriving online community is a Brisbane-based mother of two who has paid off $ 60,000 in debt, created an emergency fund and saved most of a house deposit in four years. All with an income of less than $ 50,000.

FACING THE PROBLEM

The 29-year-old influencer – or “fin-fluencer” – who goes by the handle @aussiedebtfreegirl on Instagram and YouTube began her mission to free herself from debt as she was expecting her second child.

“I have always hated debt and have been a strong believer in frugality,” she shares. “My partner and I met in December 2015, we had a baby on the way and we were trying to start a life together.

“We had a conversation about what we both wanted in life and how we could never have it while carrying all this debt.”

The conversation motivated the Brisbanites to take over the couple’s finances in an effort to pay off everything they owed, including utility bills, personal loans, phone bills and car accident debt.

“We scrimped and saved and threw every extra dollar we could on debt. Pay them off and shoot them one at a time. We made so many random $ 5 payments just to keep it down. ”

In addition to taking on additional chores, she cut household bills by looking for everything from reviewing energy suppliers every few months to leveraging loyalty and rewards programs.

The mother-of-two also used the WeMoney financial management app, which helped her see all of her bills in one place, so she could set a monthly budget and goals from there.

FRUGAL FUN

Even though the couple skimped, they still managed to have fun, although they always made sure it was cheap.

Date nights consisted of discounted sushi, where each plate cost less than $ 4, a romantic stroll and cuddles on the couch, while family fun consisted of grabbing take out and heading to the park. for a picnic and a play with the kids, now aged four and Seven.

“Some of our favorite things cost next to nothing. Our only rule is that if we want to do something, we have to like it.

SHOPPING AROUND AND HARD SIDE HUSTLING

In addition to focusing on paying down their debt, the couple found new ways to increase their income. Starting with a modest combined income of $ 20,000, the couple slowly increased their earnings each year before finally ending up with $ 50,000.

“We have worked hard. In between jobs, my partner did landscaping and was a handyman while I cleaned and refurbished furniture, flipping items for sale online.

“I would have paid off the debt sooner if we hadn’t had some emergencies,” she says. “It took me four years due to low income and a single life, job losses and emergencies that occurred as we went along.”

These crises, namely the breakdown of her partner’s car – essential for her work as a trader – prompted her to focus on building up an emergency fund in conjunction with conquering their debt because “he There’s no point in paying down debt if the next emergency is just happening. to undo all that hard work.

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A VERY NEEDED EMERGENCY FUND

Once released from her debts and provided with an emergency fund, Emily focused on saving for a house deposit and saved some of it when another emergency arose. Her son fell ill, and in the months it took for him to be diagnosed, his cash reserves were depleted by appointments with specialists, medication, hospital parking, sick leave. caregivers and childcare for her daughter.

However, she remains philosophical on this subject. “I’m not going to lie, I was upset when I saw those five digits drop to zero, but this is real life, this is personal finance, things are going to happen that you need to spend money on. money, ”she said.

“You’re not always going to hit those big, bold goals, you can’t be too rigid or upset about it, life is coming. I just reset and think ‘I can do it again’.

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FIND FINANCIAL FREEDOM

Emily believes that anyone can pay off their debt, no matter how small, if they are just willing to tackle it head on.

“If you’re in debt, don’t hide it. List the debts you have, the interest rates and fees that go with it, then pick one to focus on and crush it, ”she advises.

“I recommend starting with the smallest because not only does that prove you can do it, but you can also carry that minimum payment over to the next debt and it snowballs from there.”

Now back to focusing on that house deposit so that they can secure a mortgage, a debt that Emily believes is “a part of life,” she is more dedicated than ever to being thrifty.

“It’s a lifestyle choice for us, even if we had more money to come, I would still be thrifty. At the end of the day, we don’t want to work indefinitely, so we have to stick to a budget as much as possible.

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Read related topics:BrisbaneCost Of Living
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