Uncategorized

Consumer advocates push back against the return of high-cost, payday lending in NC (video)

Payday lending has been illegal for more than a decade in North Carolina. But now Regions Bank is offering a product known as a “Ready Advance” loan, that consumer advocates say is just as bad as traditional storefront payday loans.

Al Ripley with the N.C. Justice Center says the out-of-state bank is exploiting a federal loophole that allows banks to ignore the state’s usury laws and charge consumers triple-digit interest rates.

Ripley joined us over the weekend on News & Views to discuss how these payday loans work, and why the Commissioner of Banks and NC Attorney General should stop the practice.

A recent study by The Pew Charitable Trusts found that Americans spend $7.4 billion per year on payday loans.  Rather than being used to cover quick, unexpected emergencies, consumers using payday loans found themselves in debt for an average of five months.

North Carolina’s Legislative Black Caucus has also taken a stand against this type of financial product.

Regions has denied that their product is a payday loan.

To hear Ripley’s full radio interview with Chris Fitzsimon, visit the Radio Interview section of the NC Policy Watch website, or click below for a short excerpt:

One Comment


  1. Clark Reilly

    October 23, 2012 at 7:07 pm

    Why not leave Regions alone and let customers make their own decision. I tackle this issue and more. Read why at my blog — the only one on the internet that discusses payday loans from an even handed and logical perspective.

    http://www.paydayloanfacts.org

Check Also

Lunch & Listen: The state of Affordable Housing in North Carolina

If you missed it over the weekend, be ...

Top Stories from NCPW

  • News
  • Commentary

State Board of Elections & Ethics Enforcement refuses to disclose any details of probe into alle [...]

Senate favors form of merit selection for judges as alternative to House judicial redistricting bill [...]

North Carolinians hoping to find out who’s been funding Rep. Justin Burr’s crusade this legislative [...]

The SePro Corporation is receiving as much as $1.3 million in taxpayer money to chemically kill the [...]

Every so often in our political discourse comes a moment that presents elected officials with a crys [...]

Justices will hear Cooper v. Berger and Moore next week and the stakes couldn’t be much higher One o [...]

The post Monument to the ‘Party of Limited Government & Local Control’ appeared first on NC Poli [...]

In 1896, the U.S. Supreme Court infamously upheld the legality of racial segregation and “Jim Crow” [...]

Featured | Special Projects

NC Budget 2017
The maze of the NC Budget is complex. Follow the stories to follow the money.
Read more


NC Redistricting 2017
New map, new districts, new lawmakers. Here’s what you need to know about gerrymandering in NC.
Read more