More Payday Loan Debt?
The city of Victorville, CA has put a hold on new business permits for payday lending services hopefully which will halt payday loan debt from consumers in the area. The 45 day hold was put in place to adequately assess the impact of these businesses on the cities low income and minority communities, however it is expected that this would only be a temporary relief.
The city officials hope taking a step back from payday lenders, check cashing, and car title loan businesses will help the municipality better regulate these industries. However these fast money style businesses have surged in California where officials want to ensure they are not overly concentrated and preying upon economically vulnerable communities. A study by the Urban Law and Public Policy Institute shows that 42 percent of households with incomes of less than $25,000 per year live within one mile of a payday loan business in California. These businesses all operate the same way, where a consumer agrees to a very high interest, short term loan that they probably will not be able to repay and are left encumbered with payday loan debt they cannot get rid of.
If you have been loaded with payday loan debt, contact a qualified California debt settlement attorney. Payday lenders have become very aggressive with collection efforts. The loans are always are bad deal for consumers and can be negotiated on your behalf by a qualified debt settlement attorney.
Source : http://www.vvdailypress.com/article/20140629/NEWS/140629785