Payday Loans Blog

There seems to be no end to the ignorant people who have misused payday loans in this country. Good Morning America is looking to run a documentary on payday loans and found a few sad stories to make their case.

I have to admit, this is one of my favorite quotes of all time in regards to payday loans. This is classic uneducated borrower. Oddly, the story comes from someone over the age of 65, a demographic that makes up less than 5% of payday loan borrowers, but I digress...here is her quote:

"Things was tough. I needed money so, that's what I had to do. I wasn't getting enough."

This woman was surviving on a $575 social security check each month. Since she felt that was not enough money, she thoguht borrowing some more against her next paycheck was a good idea. Low and behold, when the next check came, she could afford the loan fees plus her other bills. How odd.

I've heard of many abuses of payday loans, but using them as another source of income is the most downright ridiculous thing I have ever heard. You aren't making enough money so borrowing a high-interest, short-term loan is going to help increase your income somehow? Wow...

Its examples like this that prove the payday loan critics wrong. They use far out examples, people who don't accurately represent the average payday loan borrower at all. I would love for the CRL to do a survey of all payday loan borrowers who have used at least two payday loans before. Ask them how they feel about payday loans.

But no, instead we're stuck with the sad sob stories of those who misused payday loans as propaganda to convince the public about how awful they are. This tactic is despicable and deplorable. Only the truth should be used in debates and arguments. Critics don't have any to back their case, so they invent some.

The Truth in Lending Act requires all payday lenders to be honest and up front about their fees and terms. People are well aware of what they are getting themselves into. Those that do and regret it later have only themselves to blame. It is not the role of the lender to pry about every detail of the borrower's personal life to make sure they will definitely pay back the loan.

We expect people to be smart enough and responsible enough with their money to use it wisely. That means only borrowing a payday loan if they know they can pay it back. We urge all lawmakers to keep payday loans as an option for people who want the freedom to choose different financial products.

“Taxes” is the five letter word no one likes to hear but with Check City’s Tax Services some of that tension can be released. It is stressful to figure out how you can save the most money and often when others provide that service it can be expensive. We recognize that and try to provide the best service at the best price.

You will save money if you come to Check City because we have tax professionals that are trained in this area. They know all about tax deductions and which one you qualify for so you can save that money. We also charge you less than other tax professionals do so you can save even more money.

Home ownership is an exciting prospect for all and with Check City mortgages, offered only in Utah, it can be your reality. The process of buying, building, or refinancing is made easier when you let us at Check City help you out. We know it can be difficult so we provide the best resources for all your needs.

We have hundreds of lending alliances that enable us to find you the best loan for your specific needs. You explain to us your information and lifestyle and we can check with our vast network to make sure you are covered.

We specialize in certain loans so if you are in the market for them then Check City is your best bet. We offer great resources and advice with residential and construction loans, traditional 15-, 20-, 30-, and 40-year fixed-interest loans, adjustable-rate mortgages, debt consolidation loans, and equity lines of credit.

Getting the best loan can be a difficult process and we understand that. Because it is so difficult we have stepped in and networked ourselves with numerous lenders. In this way you can be guaranteed the best loan for your personal situation. With Check City mortgages you can be on your way to personal home ownership.

Shopping around for insurance can be insanely difficult. There are ads all over the media from tons of different companies that all tell us they have the best rates and will provide us with the most benefits. It’s overwhelming to try to figure out which ones really will save us the most money because there are just simply so many.

Here at Check City we recognize this is stressful. We want to help you out in this strenuous endeavor. That’s why we offer to services that help you find these quotes.

You do not even need to come in to get your quote. If you live in Utah and are looking for insurance in that state, you can walk into or call any Check City and they will take down your information. They then shop around for the best rate for you from many different insurance companies. When they find the best one for your situation, they will tell you what it is. You can choose then and there to buy that insurance or you are free to sit on it and we will keep a file for you.

There are many different types of insurance that we’ll search for you so feel free to contact us for all of your insurance concerns and queries.

The Post and Courier, a South Carolina newspaper, is encouraging people to stand up to payday loans, specifically those in the state legislature. They are calling on legislators to adequately protect the citizens of South Carolina.

The following is taken straight from the Truth in Lending Act:

"It is the purpose of this title to assure a meaningful disclosure of credit terms so that the consumer will be able to compare more readily the various credit terms available to him and avoid the uninformed use of credit, and to protect the consumer against inaccurate and unfair credit billing and credit card practices."

Or in other words, the law requires every lender to adequately disclose all the terms and costs of their loans to borrowers. Borrowers are required to sign a document stating they understand all the terms and costs of their loan.

Here's an example. A child sees his mother cooking in the kitchen. He points to the stove and asks "What is that?"

His mother replies, " It is a stove. It is for cooking food. It gets very hot so you should never touch it when it is on. Do you understand that it gets hot and that you should never touch it when it is on?"

The child responds, "Yes mom, I fully understand that this stove is hot and I should never touch it when it is on."

The following day, the boy sees the stove in use again and decides to go over and touch it. He gets burned and blames his mother. Is that fair at all?

Of course not. She told the boy what the stove was for and how to avoid being harmed by it. He acknowledged this and said he understood the proper use of the stove. So why should mom be blamed for doing everythign in her power to stop the boy from hurting himself?

The same is true with payday loans. The terms are disclosed in full. People are aware of the interest rates. They know they are required to pay back their loan at a specific time. They are told how to properly use a payday loan to their benefit.

Now if someone fails to use the loan properly, why are the lenders getting blamed for being predatory lenders? How are lenders the bad guys here? You have to be 18 or older to get a payday loan, can we start treating these people like the adults they are?

Those who misuse payday loans will not be protected by any law banning payday lending. People who are going to do stupid things will always find a way to do stupid things. It simply cannot be prevented. If someone wants to borrow more money than they can pay back, then that is their poor decision.

I am sick and tired of people saying payday loans are bad. They work great for millions of people who have poor credit and no other access to short-term credit. It works great for the millions of people who pay their loans back on time. Just because a few people can't pay their loans back on time, doesn't mean payday loans are the culprit to be blamed for their misfortunes.

It seems impossible to get by without being able to make a money transfer these days. Isn’t it funny to think back to a time when they used to send everything through the mail? Imagine sending all of the cash Aunt Sally needs through an envelope. I’m already feeling nervous.

We at Check City offer money orders for anyone through Western Union. All you have to do is walk into any Check City location and we will send your money wherever it needs to go. Just make sure you have a photo ID and cash or debit card and that money will be on its way to where it needs to be.

It is really quite easy, because we can send the money directly to the recipient’s bank account, or make sure it gets in the hands of a Western Union agent who will then hold on to it until the recipient can come and pick it up.

With the Check City Gold Program you can make money on all of that scrap jewelry you have lying around at home. Right now the market is really good for selling precious metals. If it’s broken, you don’t like it, or really for any reason, we will buy anything that contains 10K, 14K, 18K, 22K or 24K gold. We will also buy silver or platinum.

This means you get to clean out your jewelry box of all that unwanted stuff and you will receive cash in doing so. There are many online retailers that offer to buy this from you but our rates are up to 4 times higher than theirs. We buy based on daily NYMEX value.

You get a fair amount for your gold and get it when you want it. There are fifteen Check City locations that offer this service and they have extended hours. So whenever you decide you need that money, you can walk in and they will accept it from you.

A few journalists, who we all recognize as beacons of hope and truth in society, investigated payday loans in Texas. Their purpose was to determine if payday loans are legitimate ways to get out of a cash crunch or if they are a rip-off.

Unfortunatley, after reading the article, the results seem inconclusive. In the end, they never said payday loans would be bad, they only quoted others saying that. Probably because they found for themselves that payday loans aren't the evil debt traps everyone thinks they are.

Two of their employees went undercover to get loans. The first borrowed $250 and was required to pay back $306.36. the second borrowed $300 somewhere else and had to pay back $361.35. The first loan came at a rate of 411% APR and the second was 533% APR.

Of course, anyone with a brain and a caluculator can figure out the actual amount they paid in interest. The first borrower owes 25.54% in interest and the second borrower owes 20.45% in interest. The article said the second borrower owed 17% in interest, but I have no clue how they came up with that. 61.35 is 20.45% of 300, that's pretty simple math. But the next line in the article is the kicker:

"We did the math on Blake's loan and assuming he made no payments to his principle balance within a year he would pay $1,600 to the Cash Store."

Well there you go, assuming someone is mindless enough to make no payments on a two week loan for an entire year, then yeah, look at how much the interest adds up! Are people stupid enough to eat this stuff up? This is unbelievable.

Of course, this "investigation" does not end with any conclusion. The reporters are likely against payday loans, but now realize they are completely fine if you pay them back on time. So of course, they had to quote some other dolt criticising payday loans.

I wish everyone in the country investigated payday loans in this way, so that deceptive consumer advocates and politicians could be exposed as the liars they are.

Making phone calls can be expensive when you do not have a prepaid phone card. It is so frustrating when you get minutes for the month but you don’t use them up and then the next month they are gone. It’s even more frustrating when you can make unlimited calls to your aunt who lives down the street but calling your mom in another state costs too much to do on a regular basis.

At Check City we offer prepaid phone cards. With these cards you specify where, when, and how you are calling. This means that you tell us what would benefit you the most, and we discuss our prepaid phone card offers with you.

These cards can be specifically minded. So if you tend to call a specific location more than another, we can make that location cheaper for you. This allows you to personalize your phone card for a better personal life.

When you prepay your phone calls, then you are less likely to go into debt, and you are more likely to call because you already have the allotted time. This is something that both you and mom will probably like, so maybe she’ll even help you out. Prepaid phone cards are a great way to ensure the best price for any kind of calls you need to be making.

This economy is not making too many people happy, but with cash-in prepaid Visa card not one of us can be denied that credit card we so desperately need. It’s so frustrating right now because it seems as though credit bureaus and companies dictate so much in our lives. It is even worse when they will not issue a credit card and you have to pay something off with a card.

Here at Check City we know this is stressful. Because of that we have teamed up with Visa prepaid cash cards so you can convert your cash to card regardless of a bank account or credit check. You then have the convenience of Visa wherever you go.

Another great thing about the cash card is that you cannot go into debt. You can only spend how much you have put on the card, so your finances are safe. Plus, there are alerts that you can opt in to receive that send you account information straight to your email or cell phone.

With all of this you can manage your finances in an efficient manner. With the cash-in prepaid Visa card you get the benefits of a credit card without the possibility of debt and further financial struggles.