Expert Author Holly Petherbridge
It's interesting to read all the stories addressing how fast cash advance lenders should be curtailed from the lending industry while banks and credit unions provide similar short-term loans without regulations. Why are credit card companies allowed to prey on middle class and low income households with their purchase incentives? Direct lenders do not send out pre-approval notices as creditors do yet they are accused of targeting certain customers.
Because the short-term loan history has a greater customer market within low-income areas, many stores were set up in neighborhood strip malls. Demographics are used by many companies that are investing capital to set-up new stores. Why would a high end store use a location in a middle class area? They wouldn't do it. There is not enough profit to make that choice happen. Just like convenience stores would not open on a dead-end street, a cash advance loan lender will not open up next to the high-end mall. Why are some ridiculed for similar business practices while others are commended for smart business strategies?
The Internet has opened up businesses all around the world. The fast cash advance lender online has the ability to reach anyone with access. Services of all kinds from all around the world are now available at the click of a mouse. Why do these lenders continue to get a bad rap? We can put a lot of blame on the bad apples. Those business owners who have lots of hidden fees or fraudulent companies that pretend to be direct lenders ruin the reputation for the rest. The short-term loan industry is only one example of a service which fraudulent play has damaged credibility.
Phishing schemes using banks, credit unions, creditors or email accounts have taken advantage of many innocent victims. There are those who seek opportunities to obtain information from others in order to use it for their own benefit. Using password protected accounts in public networks also puts you in a vulnerable spot. There is always someone to watch for.
No matter how trustworthy the short-term loan business is, there is usually a shadow of doubt because of the industry's reputation. Many folks turn to banks and credit unions for their short-term loans and experience similar problems. High interest loans attached to the actual bank account are just as much of a struggle to pay off as the direct lenders.
Have you ever seen a tax service offer to provide a tax return loan before tax season even starts? Some folks think that this is a great option to have in order to get money they will eventually have for the end of year holiday season. It seems like it would make perfect sense, but if you look closely at the terms and conditions your will find that these types of loans are glorified short-term loans. The interest is high and the fees to process the loan make them an expensive alternative money option. These loans are money making schemes processed by tax preparation companies. It is interesting how those expensive loans are not placed into the same negative category as the direct lender.
The short-term loan industry continues to thrive. News businesses pop up all over the world. If the loans were so unsuccessful, there would be a limited amount of business owners trying to get into the business, but it is quite the opposite. Most people have a good idea what they are getting into when they take out a loan. Shopping around for a good lender will help to promote the transaction's success. Best cash advance lenders are going to make the loan process safe and secure.
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