Skyrocketing costs and worries about paying bills have led to increased interest in payday loans, according to a new survey.
Research by savings platform Raisin UK has revealed a massive 350% increase in internet searches for payday loans over the past 12 months as the country faces a cost of living crisis and families struggle to make ends meet. Household budgets are being squeezed in every way, from petrol hitting a UK record £1.55 a liter last week to soaring supermarket food prices – and that’s before the new cap on Energy prices don’t come into effect next month, when the average family will have to find almost £700 extra every year just to pay their energy bill.
Kevin Mountford, co-founder of UKwarned that Payday loans can be a dangerous path, despite the short-term relief they may seem to provide.
Read more: The energy price cap explained
“It’s easy to fall into a cycle of debt with these schemes if you continually need them to cover shortfalls. With interest rates rising, payday loans will most likely leave you struggling financially, d especially since you will owe these companies an ever-increasing amount of money,” he says.
Payday loans are short-term loans for relatively small amounts. They may be easy to access, but the interest rates are very high. They work by agreeing that the company can take its payment from your debit card on the day your next salary payment is due, although some lenders allow you to pay over a longer period – often up to six months.
For some, they offer loans of last resort which, when used well, can fix unexpected holes in people’s finances, although according to money-saving expert Marin Lewis, many of these loans have been granted in ways irresponsible and poorly sold to those who could not afford to repay. .
Dozens of lenders with bad credit have gone bankrupt, including big-name payday lenders such as Wonga and QuickQuid, leaving customers with legitimate claims with dramatically reduced payments.
Citizens Advice agrees with Martin Lewis that payday loans are almost always a bad idea and warned against people seeing them as a quick fix to solve today’s problem.
Martin Lewis advised people to try the following ways to raise short-term cash before applying for a payday loan:
And if you’re still determined to get a payday loan, he advises the following:
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When you face an unexpected expense, a payday loan may seem like the ideal solution. Applying is quick and easy, and you can get the money you need in just a few hours. But before you take out a payday loan, be sure to read the fine print. Payday loans come with very high APRs, and if you can’t pay them back on time, you’ll end up paying even more fees and interest. So, is a personal loan really worth it?
A payday loan is a short-term, high-interest loan that is usually due on your next payday. The idea is that you will use the money you borrow to cover unexpected expenses or to tide you over until your next paycheck arrives. Payday loans are also sometimes called cash advance loans or check loans.
Orville L. Bennett of Ipass.Net explains how they work: Let’s say you need to borrow $300 for an emergency expense. You write a post-dated check for $345 (the loan amount plus fees and interest) and date it for your next payday. The lender keeps the check and cashes it on the date you specify, usually two weeks later. If you don’t have enough money in your account to cover the check, you’ll be charged an NSF check fee.
Payday loans are usually due in full on your next payday, but some lenders will let you extend the loan if you can’t afford to pay it off all at once. Just be aware that interest rates and fees will continue to accrue until the loan is paid off.
Ipass identifies payday loans as a loan that can be a useful tool in times of financial emergency, but should only be used as a last resort. Make sure you fully understand the terms and conditions before applying and be ready to repay the loan as soon as possible. Otherwise, you could end up paying a lot more interest and fees than you originally borrowed.
If you’re looking for an alternative to payday loans, consider online personal loans. Personal loans are a great way to consolidate debt, finance major purchases or cover unexpected expenses.
And unlike payday loans, personal loans come with fixed interest rates and payments, so you’ll always know how much you’ll have to pay each month. Plus, you can usually get a personal loan with bad credit. So if you’re struggling to qualify for a traditional bank loan, an online personal loan might be the perfect solution.
As with any type of loan, there are risks associated with payday loans. Here are some things to watch out for:
– Payday loans come with very high APRs, and if you can’t pay them back on time, you’ll end up paying even more fees and interest.
– If you can’t repay the loan on time, you could end up with costly NSF fees.
– Payday loans can hurt your credit score if you miss payments or fail to repay the loan.
– Payday lenders may try to aggressively collect debts from borrowers, which could lead to harassment and even legal action.
So before taking out a payday loan, make sure you weigh the pros and cons. If you can’t afford to repay the loan in full on your next payday, it’s probably not a good idea to borrow the money. There are other options available, so be sure to explore all of your options before deciding on a payday loan.
If you’re considering taking out a payday loan, be sure to check out our guide to the best payday loans first. We’ll help you find a lender who offers fair interest rates and reasonable repayment terms.
Payday loans aren’t for everyone, but if you need cash fast and have no other options, they can be a helpful way to get through a tough financial situation.
When looking for a payday loan, it’s important to compare interest rates and fees from different lenders. Here are a few tips :
– Compare the APRs of different lenders. Payday loans with lower APRs will cost you less interest and fees over the term of the loan.
– Avoid lenders that charge application or origination fees. These fees can add up quickly, so it’s important to find a lender that doesn’t charge them.
– Look for lenders who offer flexible repayment terms. If you can’t afford to repay the loan on your next payday, be sure to inquire about extending the repayment term. Just be aware that this will increase the overall amount of interest you pay.
– Do not accept any loan before having carefully read the terms and conditions. Payday loans can be expensive, so it’s important to know exactly what you’re getting into before signing anything.
If you take these steps, you’ll have a much better chance of finding a payday loan with reasonable interest rates and fees. Remember to always research the best deal before applying for a payday loan. High APRs can quickly drain your bank account, so it’s important to find a lender that offers fair rates and reasonable repayment terms.
If you need money fast and don’t want to take out a payday loan, there are other options available to you. Here are some alternatives to consider:
– Personal loans: Personal loans generally have lower interest rates than payday loans, so they can be a cheaper option in the long run. And unlike payday loans, personal loans come with fixed interest rates and monthly payments, so you’ll always know how much you’ll have to pay each month.
– Credit Cards: If you have good credit, you may qualify for a low-interest credit card. You can use your credit card to cover unexpected expenses or consolidate debt. Just make sure you make your payments on time and keep your balance under control to avoid high interest rates.
– Payday loan alternatives: There are a number of payday loan alternatives available, including installment loans, cash advance loans, and lines of credit. These options typically have lower interest rates than traditional payday loans, so they can be a cheaper option in the long run.
Before deciding on a payday loan, be sure to explore all of your options. Payday loans can be expensive, so it’s important to find the cheapest way to borrow money. Personal loans, credit cards, and payday loan alternatives are all viable options for people in need of quick cash. Just be sure to compare interest rates and fees before applying for a loan.
Thanks for reading! We hope this article has helped you understand the truth about payday loans and the high APRs associated with them. Payday loans can be expensive, so it’s important to explore all of your options before deciding on one.
Remember that personal loans, credit cards, and payday loan alternatives are all viable options for people who need cash fast. Just be sure to compare interest rates and fees before applying for a loan and research reliable and knowledgeable lenders such as Ipass.Net.
]]>The FinTech environment has grown in popularity in recent years, especially after the pandemic. The banking, money services and insurance (BFSI) industry in particular has exploded with digital lending services transforming the lending process and disbursement methods.
Digital lending is booming as an effective alternative to traditional lending (by financial institutions) for people new to credit or underserved by the financial system.
With the internet reaching the remotest parts of India, people from all geographies and demographics now have the opportunity to access financial services digitally. Innovative products offered by fintech companies (lending apps in particular) have overcome traditional limitations, reduced transaction costs and improved customer experience.
Here are the 5 best instant cash lending platforms that will help you meet urgent money needs, with easy and smooth access.
RupeeRedee
Launched in 2018, RupeeRedee is a digital lending platform that allows consumers to meet their lending needs in a few simple steps using technology. The app gives you access to personal loans in minutes at your fingertips.
It is a technology-driven digital lending platform that leverages technology and data science to make lending accessible to India’s massive population of underserved customers. With a robust KYC and a smooth process, it makes the consumer journey simple and fast and also protects your data. It currently has 4.51 million installs on Google Play Store and an average traffic of 400,000 on its website.
Operating with its own Captive NBFC FincFriends Private Limited in the background to facilitate short term personal loans coupled with digital lending services and has rolled out various forms of underwriting including alternative data sources and not limited to underwriting based solely on credit rating. Following the code of fair practices and compliance process, it provides its consumer with an exceptional experience and satisfaction.
GalaxyCard
Established in 2018, the company has acquired a huge customer base in over 600 cities across the country. The digital credit card can be made available instantly in 3 minutes and benefits customers with no annual, membership or interest fees. GalaxyCard aims to make credit cards easily accessible to customers with an income of less than 30,000 per month. Customers can simply download the app and complete a free online registration for treatment. The whole application process is digital and requires three basic details – PANCard, Aadhar Card and bank statements. Unlike the traditional loan process, it eliminates cumbersome paperwork and long processing time.
ReadyKart
Founded in 2014, LendingKart’s main mission is to facilitate access to credit for SMEs (small and medium enterprises) in India. It functions as an NBFC and focuses on MSME loans and capital. LendingKart uses big data analytics to help lenders determine a borrower’s creditworthiness. It also completes the loan disbursement process much faster than traditional banks.
Loan tap
LoanTap Financial Technologies is an online platform committed to providing personalized loan products to millennials. The Pune-based company was established in 2016 with the aim of providing a seamless customer experience from application to disbursement process. The platform is reportedly committed to providing flexible loan products to salaried professionals. LoanTap offers loans to help millennials live the life they want. The company is said to offer quick personal loans on favorable terms to the customers. LoanTap’s goal is to delight its customers by helping them choose the best loan products.
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Mumbai-based CASHe is a digital lending platform for young salaried millennials. CASHe offers instant short-term personal loans ranging from INR 7,000 to INR 300,000 for tenors up to 1 year at from young professionals based on their social profile, merit and earning potential. The company uses its proprietary algorithm-based machine learning platform.
A family of four have revealed how they lived on £1 a day and saved over £40,000 in the process. Ricky and Naomi Willis, from Hull, said they wanted to help others after struggling with payday loans and credit cards. The family’s troubles began when Ricky lost his job as a machine operator at a printing company and the following year Naomi lost her insurance job. With no money coming in, they quickly racked up £43,000 in payday loans, plus credit card and catalog debt.
Things came to a head when their car and refrigerator broke down in the same week, wiping out their remaining savings and increasing their debt load. The family of four hit rock bottom when Ricky realized she had to live on less than a pound a day. He said The daily express : “We made a list and feeding our two daughters Daniella and Chloe was great, then diapers because Chloe was still a baby. We eat in third place.”
Ricky, now 42, went to bed that night and cried: “I felt like I let my family down.” Ricky and Naomi, 37, began their return to solvency by ruthlessly going through their bank statements to cut back on all non-essential expenses.
New research from low-cost broadband provider Plusnet shows the average household is paying £299 a year on their mortgage rating, £222 on fuel bills, £156 on broadband and £132 on TV packages . They also spend £162 on car insurance and £84 on pet insurance when cheaper alternatives were available.
READ MORE: ‘I moved to London from Newcastle and wish I had known these 5 important things before I got here’
Naomi said, “We made sure we didn’t spend a dime on products or services we didn’t absolutely need. This has saved us thousands of pounds a year. They set up individual payment plans with creditors, used money-saving apps like Freecycle, sold goods and stuck to cheap meal plans. Thanks to their frugal lifestyle, they became debt free in just four years.
Ricky and Naomi started the Skint Dad blog in 2013 to help other people get their finances back on track. Now their money-saving tips are helping hundreds of thousands of followers as the cost of living soars. Naomi said: “It will be a really difficult year for many households. It may seem impossible to weather the storm, but there are things you can do to ease the pressure.
Do you want to stay up to date with the latest news, views, features, and opinions from across the city?
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Here are their top 12 money-saving tips.
Be energy efficient. Even simple measures can save money. Block drafts from doors, windows, and even an unused fireplace, lower thermostats on radiators in unused rooms, and turn off appliances and lights when not in use.
Choose the right broadband provider . “We pay £18.95 a month with Plusnet with no unnecessary bells and whistles,” says Ricky.
Earn cash back when shopping online. Use sites like TopCashback or Quidco. Airtime Rewards allows you to double your cashback.
Check your bank account regularly. Check direct debits and standing orders and reduce what you don’t need.
Watch out for TV subscriptions. The costs add up quickly. “Do you watch a lot of shows or movies on each service? If not, cancel and save,” says Ricky.
Save fuel. Check local gas station prices online before filling up or use loyalty programs.
Meal plan. Planning weekly meals for your family will reduce the money you spend at the supermarket and reduce food waste.
Use a slow cooker. This makes cheaper cuts of meat delicious and tender and uses less energy than an oven.
Benefit from all tax advantages. Website Turn2us.org.uk allows you to verify that you are claiming all state benefits available to you.
Select the correct mobile operator. You’ll only pay £7 a month for a SIM-only deal and often keep your old number.
Consider secondary agitation. From online tutoring to party planning to carpooling, this could be a great way to earn some extra cash.
Face all debts. Contact StepChange Debt Charity or National Debtline for free, unbiased debt advice.
Joanna Carman, Director of Plusnet, said: “Simple tips for buying sensibly and avoiding complicated deals can be a big help at times like these.”
Want the latest crime news, sports news or the latest London news straight to your inbox? Tailor your needs to suit you here .
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If you are someone who regularly monitors your credit score, you may be surprised to see a decline in credit in your credit report.
Having the financial knowledge to understand what affects your credit rating can help improve your credit score while giving you peace of mind.
Here are five reasons why your credit score may have dropped recently and how to fix or prevent them.
Your payment history is the most crucial element of your credit score.
Paying your bills on time is essential for your credit score. Your credit report records late payments, which can negatively affect your score.
To avoid late payments, be sure to set reminders to pay bills or set up automatic withdrawals to ensure your bills are always paid on time.
A sudden drop in your credit limit can increase your credit utilization rate, which is the amount of debt you have to credit. Using most of your available credit can negatively impact your score.
Pay off a debt or request a credit limit from your bank.
As above, closing a credit card can reduce the amount of credit available, thereby increasing your credit utilization rate.
Credit checks, where financial institutions conduct a credit score inquiry, can negatively impact your credit score.
To avoid multiple credit checks, do not apply for multiple credit products at the same time.
A fundamental reason to regularly monitor your credit report is to keep an eye out for suspicious activity.
A large, unexpected drop could indicate that someone else has purchased credit products on your behalf and incurred significant debt.
Curious about what to do if you notice a drop in your credit score?
There are several steps you can take to improve your credit score, such as making sure you pay your bills on time and using your credit cards sparingly.
If you need access to a loan online fast, iCASH offers instant, bad credit, and payday loans.
Even if your credit score drops, you can access instant loans with iCASH. To visit icash.ca to start.
]]>A 40-year-old man was arrested in California on Friday after allegedly using a fake name and accent as part of a plot to extort more than $2.5 million from victims who believed they had invested in a bank Swiss and other companies.
The alleged scammers returned only about $163,000, some of which came from payments from other victims, according to the US Department of Justice.
Starting in July 2015, Richard Patterson aka Xavier Carter used fictitious companies called Hawaiian Crush, Inc., Aloha Aina, Ltd., Securities and Trust of Switzerland AG, aka FSTS, Red Rock Equity Group and Advance Development Group and bank accounts in Hawaii, Minnesota and South Dakota to anchor the program. Patterson used Xavier Carter’s name and a fake accent to cover up his “criminal history of investment fraud,” according to an Aug. 19 indictment unsealed last week.
Patterson was arrested Feb. 11 in California. Dashawn Hill, 46, and Judy Ramos, 52, all former Hawaii residents, have been charged with conspiracy and wire fraud, and Patterson and Ramos have also been charged with money laundering, according to a press release from the US Attorney’s office.
“Those who take money from investors by promising excellent returns in a short time, with little or no effort to generate such returns, should face serious consequences for their actions,” the prosecutor said. District of Hawaii Clare E. Connors, in a press release.
At no time were Patterson, Hill or Ramos permitted to sell securities, do business in Hawaii, be registered or permitted to perform any of the transactions they had promised investors pursuant to the Deed of Incorporation. charge.
Patterson made a first appearance in court for the Central District of California, according to the statement. Ramos, a current Hawaiian resident, and Hill, who lives in Oklahoma, have not yet been arrested. Hill used Thoroughbred Research and Investments, Inc. to further his bogus professional investment agenda. In 2015 and 2017, he unsuccessfully filed for bankruptcy under Classen Crown Investments Inc.
Ramos used fake companies Aloha Global and Sand and Sky Consulting to push his part of the alleged plot,
The indictment alleges that beginning in July 2015, Patterson, Hill and Ramos implemented an “advanced payment plan.” They would promise returns of 200-1000% on initial investments by setting up “lines of credit” or “non-recourse loans” with the investor’s money supposedly backed by gold or other means. , according to the indictment.
Victim-investors who would hand over money, sometimes up to $200,000, which would allegedly be used to generate much larger sums of money, sometimes in as little as 28 days, according to the indictment.
In one instance, on April 14, 2017, an investor agreed to wire $100,000 to Patterson to invest in Aloha Aina, who would then deposit $300,000 into an account for the investor at Patterson’s fake bank, FSTS, in the 28 days. Twenty-eight days later, the investor was told in a signed memorandum that an additional $700,000 would be deposited, according to the indictment.
Patterson, Hill and Ramos, divided the investors’ money and used it to pay the defendants’ personal expenses, including credit card bills, rent, entertainment and other expenses, none of which were a investment and had no potential to earn the promised returns. to investors, according to the press release.
“Alleged fraudsters have preyed on our communities, targeting trusted families and local business owners for their own selfish gain. The FBI takes financial crimes very seriously and will contribute its considerable resources to hold those who commit fraud accountable,” Steven Merrill, FBI Special Agent in Charge of the Bureau’s Honolulu Division, said in a statement.
He urged the community to use the FBI’s whistleblower line at tips.fbi.gov to report fraudulent schemes and scammers.
If convicted, Patterson, Hill and Ramos will each face up to 20 years in prison and a fine of up to $250,000 for each count of conspiracy to commit a crime. wire fraud or electronic fraud. Patterson and Ramos face up to 10 years in prison and a fine of up to $250,000 for each count of money laundering.
The case was investigated by the FBI. Assistant United States Attorney Michael F. Albanese is prosecuting the case.
]]>Overall, the startup has raised $49.1 million in funding since June 2019, including $25 million in debt funding, according to Crunchbase, which tracks investments in tech companies. FloatMe’s new investors include Iowa-based Active Capital and ManchesterStory.
“We’ve been under the radar,” FloatMe co-founder and president Joshua Sanchez said. “The funding is validation that we have grown significantly and allows us to expand.”
However, he declined to say how many customers use the app.
FloatMe, with 60 employees and an office in downtown Soledad Street, is part of a wave of online and mobile cash advance companies gaining traction during the coronavirus pandemic. They compete with payday lenders who sell high-interest loans to largely low-wage workers, a disproportionate share of whom are black and Hispanic.
FloatMe’s service is similar to financial technology, or fintech, offerings from companies such as Moneylion, Earnin and Dave.
Like its biggest rivals, FloatMe says it offers customers payday cash advances, not loans.
Customers pay a monthly fee of $1.99 and can request small advances – no more than $50 – which they repay when their next paychecks hit their bank accounts.
The startup’s terms of service state that users must be US citizens at least 18 years old and have a cell phone and email address. To create an account, customers authorize the company to access their bank account balance and transaction history.
They must also prove that they have received at least $200 in electronic payroll deposits three times before they can apply for advances.
Once approved, users can receive their advances through an automated transfer from the clearinghouse to their bank accounts in one to three business days. Or they can pay $4 for an “instant” money deposit within eight hours.
Fees for faster access to cash advances have caught the attention of industry watchdogs. Many workers who apply for cash advances are in financial straits and need money fast.
“This type of fee would be voluntary, but really adds up for consumers,” said Yasmin Farahi, senior policy adviser at the Center for Responsible Lending, a North Carolina-based nonprofit policy and research group.
FloatMe users can also receive offers from third-party companies for money management services or products — if they choose, according to the startup.
According to the terms of service: “In all cases, you will need to register to receive these offers from partners, and FloatMe may receive compensation from these partners for referring you to them. FloatMe is not responsible for the products and services offered by these partners.
The federal Consumer Financial Protection Bureau describes a payday loan as “a short-term, high-cost loan, typically $500 or less, that is usually due on your next paycheck.” Loans are available in storefronts and online.
If borrowers do not repay their loans on time or at all, lenders can withdraw money from their bank accounts, sometimes resulting in overdraft fees. Payday lenders also sometimes send collection agencies after delinquent borrowers.
Payday loans have long been a big business in Texas.
The Center for Responsible Lending analyzed average annual percentage rates, or APRs, for a $300 loan with 14-day repayment periods in each state. Data shows Texans can pay up to 664% APR — the highest in the nation — because the state has no interest rate caps to protect borrowers.
“Payday loans are marketed as a quick financial fix, but they’re actually a long-term debt trap,” Farahi said. “People will take out a loan thinking it’s a one-time loan to deal with a short-term crisis. But with all the fees and costs, they end up having to take out another loan and another loan.
Like his peers, Sanchez says FloatMe is not a payday lender.
“FloatMe is all about transparency,” he said. “We charge members $1.99 per month to access our personal finance management tools, overdraft alerts and other budget management features. Members can access the floats without having to pay the $1.99. There is no credit check. There is no interest and no hidden fees.
“We do not collect or store sensitive information (personal information),” Sanchez said. “We work with a third party to simply connect a member’s bank account. We do not sell any user data.
The company’s website says it uses Plaid, a California-based financial services company, to connect to customers’ bank accounts.
Sanchez said he had his own bad experience with a payday lender.
Five years ago, he was driving in San Antonio when a VIA Metropolitan Transit bus veered into his lane and rammed his vehicle.
The Incarnate World University graduate had car insurance but couldn’t wait for payment to fix his car – he needed it to get to work. At the time, he was among the 67% of millennials without a credit card. So he dipped into his savings to pay for repairs to the vehicle, leaving him short of cash before his next paycheck.
He didn’t want to ask his mother for money, so he turned to a payday lender for a $200 loan – and quickly fell behind on his payments.
“I have to understand that paying on time is important,” he said. “The way lenders generate their income is by betting that people can’t prepay and get into a habitual cycle of having to pay interest. The sad thing is that the majority of people cannot afford a sudden recovery.
Later that year, Sanchez pitched the idea for FloatMe during a startup challenge at Geekdom, a coworking space in downtown San Antonio, and won $13,000.
FloatMe’s terms of service say it doesn’t charge late fees or penalties, and it won’t go to a collection agency to track down customers for payment.
“If a member doesn’t repay a float, we don’t seek recourse,” Sanchez added. “Our only response is not to allow the member to take another float.”
Still, consumer advocates remain wary of cash advance companies because they aren’t regulated like payday lenders.
“A lot of them try to say they’re not loans, but we think they’re loans and should be regulated by consumer protection laws and state loan laws.” , Farahi said. “Obviously in Texas those laws aren’t strict on user caps, but we’re concerned that they’re trying to get exclusions from state and federal lending laws saying that it it’s not about loans. And really, a lot of them are payday loans in some other form.
Protecting your security online is an ever-evolving art. As cybercriminals become more sophisticated, your credentials aren’t the only things they want. Today’s digital thieves are looking for ways to use your identity to commit fraud and other criminal activity. A report estimates that consumers lost $56 billion due to identity theft in 2020.
So how do you protect yourself from these growing digital threats? Using the right security software can help you log in with confidence, knowing it will protect you from everyday virus threats and potential scams while helping to fight identity theft. An all-in-one security solution such as Total Protection from McAfee is ideal for managing the many threats inherent in living in a digitally connected world. Here’s how the right program can work to keep you safe.
One of the best ways to stay protected from cybercriminals is to maintain your privacy online, so they can’t find you in the first place. Unsecured Wi-Fi networks in cafes, libraries or other public places are potentially problematic: these are all places where criminals could take advantage of your personal information. A 2018 report by Statista found that 39% of users understand that public Wi-Fi is unsafe, but continue to conduct sensitive exchanges using it.
Using a VPN (virtual private network) could save you from the prying eyes of cybercriminals by encrypting (or scrambling) your data when you connect to public Wi-Fi. McAfee Total Protection offers VPN protection to give you ultimate freedom and security, even when using an unsecured public or remote network. Its Secure VPN automatically connects to a VPN when you join an untrusted network, so you can hide sensitive data like your physical location, account credentials, and credit card information.
Whether you’re working in a restaurant or browsing the latest entertainment, software with private browsing capabilities lets you surf the web privately and anonymously. With McAfee’s bank-grade encryption, your online activity will be protected to the same standards as major financial institutions.
At home or on the go, the threat of cybercrime is never too far away. Unfortunately, many people only find out they are a victim of identity theft when faced with fraudulent bills or other unexpected discoveries, such as a sudden drop in their credit score.
McAfee Total Protection helps you avoid these unpleasant surprises, with its identity protection service. You’ll get a protection score to help you identify your current level of protection and provide simple steps to improve your security. You’ll also receive earlier warnings (up to 10 months earlier than other security software products) about potential breaches and how to protect yourself from the dangers. McAfee Total Protection also scours the dark web and alerts you if any of your information is in that malicious corner of the net. In the event of a breach, McAfee will help you avoid further exposure with step-by-step guidance, so you’re better prepared for the repercussions of an identity breach.
The consequences of a leak can be devastating. When a criminal has used your information, it can lower your credit score and damage your reputation. Trying to restore your identity can be stressful. Fortunately, McAfee Total Protection Ultimate includes all the benefits of McAfee Total Protection, plus bonus features like Identity Restore. This service provides traditional credit report restoration and non-credit restoration (such as payday loans and IRS, DMV, and court records) in the event of identity theft.
Another benefit of upgrading to Total Protection Ultimate is that it provides reimbursement and insurance for up to $1 million fraud insurance and $10,000 stolen funds reimbursement.* With so much at stake , McAfee Total Protection and Total Protection Ultimate provide comprehensive assistance with the fallout of potentially life-changing identity theft, giving you protection that goes beyond a typical security package.
Protect your identity and personal information with McAfee Total ProtectionMcAfee Total Protection now.
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]]>the Consumer Financial Protection Bureau (“CFPB”) continued to strengthen its regulatory oversight of the consumer financial services market. On January 26, 2022, the CFPB published an initiative seeking public input on so-called “unwanted fees” in consumer financial services. According to the CFPB, “junk fees” occur when: (i) fees are charged for things that consumers thought were covered by the base price of a product or service; (ii) the charges are unexpected; (iii) the cost of the fees is grossly disproportionate to the cost of the service; or (iv) it is unclear why a fee was charged. The CFPB argues that ‘junk fees’ are harmful to the financial services market because they ‘obscure the true price’ of a service by, for example, offering attractive introductory prices, but then make up the difference by charging various fees. back. on consumers.
The bulletin specifically identified credit card late fees and current account overdraft fees as potential “junk fees” that obscure true service pricing and undermine a competitive financial services marketplace. The purpose of the bulletin is to seek public input on consumer fees in financial services to “develop rules, issue guidance for the industry, and focus supervisory and enforcement resources” in an attempt increase competition in consumer credit and reduce the incidence of so-called ‘junk fees’. ”
The bulletin refers to the CFPB Request for information regarding fees charged by providers of consumer financial products or services (“RFI”), which asks consumers to identify charges associated with “a bank, credit union, prepaid or credit card account, credit card, mortgage, loan, or payment transfers “. Beyond the deposit account and credit card fees identified in the CFPB bulletin, the RFI is also soliciting consumer testimonials regarding fees associated with (i) remittances and payments (bank transfer/ACH, etc. .); (ii) prepaid card fees; (iii) mortgage charges; and (iv) fees associated with other types of loans, such as student loans, car loans, or payday loans. Given the wording of the RFI and the bulletin, it is possible that the Bureau will attack consumer credit charges, even when these charges are well disclosed, if it perceives a strong disconnect between the amount of the charge and the cost of the service resulting in the fee.
The CFPB’s continued focus on fees for financial services is likely to spur an active plaintiffs bar that has created a cottage industry of class action lawsuits against financial institutions alleging insufficient disclosures regarding consumer banking fees. The risks associated with these types of consumer class actions are not negligible. A court recently approved an award of $25 million class action plaintiff’s attorney’s fees, to be paid from a $75 million settlement fund, in a class action lawsuit for bank charges. Financial institutions should also prepare for increased regulatory scrutiny and the possibility of enforcement action following any findings the CFPB draws from the RFI.
Copyright © 2022, Sheppard Mullin Richter & Hampton LLP.National Law Review, Volume XII, Number 34
]]>Taking out a loan can be a useful way to pay for expenses that you might not otherwise be able to cover at the moment. You may want to borrow to cover medical bills, home renovations, or maybe even a vacation.
The most common forms of loans for quick cash are payday loans and personal loans, although one is a much better option than the other.
Real Simple’s Money Confidential podcast host Stefanie O’Connell Rodriguez recommends avoiding payday loans whenever possible.
“It’s an option of last resort, like avoiding it at all costs,” says O’Connell Rodriguez. “If you’re considering something like, ‘OK, do I use a payday loan or a credit card or a personal loan,’ understanding that a payday loan is the option of last resort might help make that decision a little easier.”
Payday loans are often for small amounts of money, usually $500 or less. They are designed for borrowers who are in need – perhaps you need money to cover an unexpected medical bill or a damaged item. Payday loans provide immediate funds, come with extremely high interest rates, and are generally based on your income, not your credit history.
“Payday loans come at a price,” says Kendall Clayborne, Certified Financial Planner at SoFi. “They can have interest rates over 600%. Such high interest rates, not to mention the other associated fees, can quickly lead to situations where you end up falling behind on the loan and have to borrow money. more and more to pay it comes back.”
Payday loans are never a better option than personal loans. They come with extremely high interest rates and are often predatory in nature.
“If someone asked me personally, I wouldn’t recommend a payday loan under any circumstances,” says Annie Yang, strategic financial advisor at Real Estate Bees.
You can get a payday loan by going to a physical lender or through an online lender. When you take out a payday loan, you often agree to authorize the lender to withdraw funds from your bank after your check has been deposited. The lender may request a signed check in order to receive the funds soon after your next paycheck.
With a personal loan, you ask to withdraw a specific amount of money. The lender will show you available offers based on financial factors such as your credit score, debt-to-equity ratio, and ability to repay the loan. You can use a personal loan for a variety of reasons, including home renovations, medical bills, and vacations.
“Personal loans come with a credit check to qualify, but will give you a longer term to pay them back,” says Clayborne. “Your repayment schedule can be less stressful, giving you the flexibility to pay over a few years rather than a few months. With a longer repayment term, your personal loan can be easier to manage than a payday loan. .”
Personal loans are always a better option than payday loans because they come with lower interest rates and the loan decision is based on your ability to repay.
Online lenders, banks and
credit unions
will give you money that you will repay over a fixed period, say a year or five years. Personal loans are almost always unsecured, meaning they don’t require collateral – like a house or car in the case of a mortgage or car loan – to be received. Most personal loans have fixed interest rates that remain the same for the life of the loan.
Whether you decide to take out a loan or not, O’Connell Rodriguez advised you not to judge yourself too harshly based on your financial situation.
“Have compassion for yourself,” O’Connell Rodriguez said. “Understand that where you are, if you’re in an emergency, if you’re in debt, if you’re in a really bad financial situation, it doesn’t say anything about who you are, it doesn’t say anything about what you’re capable of. of, or who you are. It doesn’t define your goodness or your dignity.”
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