How to find a reliable payday lender?
To get the best deal, keep your banking information safe and avoid excessive fees, it is important to select a reliable lender.
First and foremost, make sure the lender you are about to call is state-licensed. Otherwise, the company is acting on an illegal basis. Certain lenders are registered outside the US and, therefore, need not to abide by US laws. Try to stay away from these lenders.
Check whether the lender you are about to contact has a website. Having a website makes the company more credible and, also, gives you a chance to get important information about the company online.
3. Customer service
Make sure the lender you are going to get money from has customer service. Otherwise, you will find it problematic to ask for answers and resolve problems, should they occur.
Search for customer reviews online. Generally, people tend to share negative opinions, so that is what you are most likely to find. But at least you can see whether the negative reviews are objective and understand whether the lender fails to meet customer expectations on a regular basis.
5. Interest rates
This is one of the most important issues affecting borrowers, but we suggest you compare the interest rates offered by the lender only after you’ve checked the company’s credibility and reputation. Ask specific questions because interest rates can be tricky. Always ask for the total charge, as the fees can be broken down into interest and additional fees.
How to complain about a payday lender?
If something goes wrong, and you ended up taking a quick cash loan from a bad lender, you will be able to protect your consumer rights. Here’s what you need to do to file a complaint or to get help:
Find out which state agency is in charge of regulating your payday lender and file a complaint with them. Regulators are most likely to help you work out a payment arrangement with the lender, as long as the lender has a state license.
2. Get legal help. See if there is a legal aid program in your state. Also, you can contact the military legal office if you are in the military.
A Consumer attorney will help you resolve the program for a fee.
3. Contact the Consumer Financial Protection Bureau (CFPB), the organization will do its best to protect you and other consumers, and to create a marketplace that is fair for all participants.