Coalition Announces Letter Writing Campaign

The Rhode Island Coalition for Payday Lending Reform announced a letter writing campaign today that would be supported by several local agencies.  Individuals are urged to cut and paste the following letter and send it either by regular mail or by email to the speakers of the Rhode Island House and Senate. Contact information for [&hellip

Mayors Urge General Assembly to Reform Payday Lending

MEDIA ADVISORY   EVENT: Wednesday, March 27, 2013, 3:00   For further information contact:      Margaux Morisseau Phone:  (cell) 401-451-7760 E-mail:       mmorisseau@neighborworksbrv.org   Mayors from across Rhode Island urge the General Assembly to reform payday lending this year   The RI Payday Lending Reform Coalition will host a Press Conference at the State House [&hellip

Mythical Payday Lending Transactions

If you believe in unicorns this article is not for you. “Payday loans can be used for emergency expenses like car repairs.” Considering how often this quote is used by advocates of payday lending, one would think that every payday loan was for an emergency.  However, according to Pew’s Payday Lending in America study, only [&hellip

Questions about Payday Loans we Should Have Asked

1.  Why are September and December the busiest months for payday lending (1)?   The most likely reason September is a busy month for payday lenders is because it’s back to school season.   Payday borrowing is probably dominated by proud parents who want to send their children to school in new clothes with adequate school [&hellip

How to Turn a $200 Emergency into a $360 Payday Lending Nightmare

“Payday loans can be used for emergency expenses like car repairs” is probably the most quoted justification for these types of loans.  Considering how often this quote is used by advocates of payday lending, one would think that every payday loan was for an emergency.  However, according to Pew’s Payday Lending in America study, only [&hellip

10 Dirty Secrets of Payday Lending

Most people think that an annual percentage rate of 260 or 280 percent is the dirtiest secret behind payday lending. However, the interest rate is merely one ingredient of a cauldron filled with highly toxic, financially destructive brew. 1. Payday lenders target people collecting social security! A payday lending memo from Check ‘n Go directed [&hellip

Reform Coalition Collecting Stories

If you’ve had an experience with a payday loan in Rhode Island that you’d like to share, we’d like to hear from you.  Your response will be kept confidential if you wish.  This is an opportunity to tell your story and help change regulations in Rhode Island so that other people won’t have to go [&hellip

RI Payday APR is not 260%

The Truth in Lending Act of 1968 mandates that all lenders disclose their fees as an Annual percentage rates, otherwise known as APRs (1).  This is a relatively easy number to calculate.   Merely divide 365 (the number of days in a year) by the loan period, and then multiply times the rate charged for the [&hellip

The “Five for Six Boys”

  A payday loan (also called a paycheck advance) is a small, short-term loan that is intended to cover a borrower’s expenses until his next paycheck – Wikipedia (1)   Payday loans are nothing new.  Early providers of payday loans were called “five for six boys.”  They’d loan five dollars on a promise to repay [&hellip