lending

Are Colorado Payday Loans Legal and a Good Idea?

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colorado payday loans interest

Payday loans have gotten a bad rap, and deservedly so. Payday lenders have behaved in a predatory manner. However recent payday loan rules and regulations have eliminated some of the worst abuses. While a payday loan should be no one’s first choice, when used properly, for the short-term only, a pay day loan may be better than missing out on an opportunity or avoiding a problem. So, are Colorado payday loans legal and are they a good idea? Colorado Payday Loans Law Coloradoans passed Proposition 111 during the 2018 elections. That law capped the interest rate on payday loans at 36%. Colorado law also sets a payday loan maximum in Colorado of $500. In addition, lenders may only charge financing fees up 20% for the first $300 and $7.50 for each additional $100 loaned. The law also limits the interest rate on loan renewals in Colorado to 45%. Only one rollover is allowed. If your repayment does not go through due to non-sufficient funds (NSF), the maximum fee is $25. The minimum term on payday loans in Colorado is six months, but you should pay it off sooner to avoid accumulating more interest. All Colorado payday loans laws apply to …

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Bank Mortgage Scams Continue

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Think that after a multimillion dollar lawsuit and settlement that the big banks would start playing by the rules and treating their customers right? If so, the bridge salesman convention would LOVE to have you drop by. Get ready for the next mortgage scam by the banks. Single Point of Contact Scam One of the things that the big mortgage banks were supposed to do to help their customers and stop mortgage foreclosure fraud was provide a single point of contact for borrowers to deal with on issues like mortgage modification, refinance or foreclosure avoidance. Before, borrowers were forced to call some 1-800 number where a faceless phone drone would do the standard dance. The borrower provided all of his or her information, and then the person on the phone would tell them what they needed to do. Unfortunately, customers found that they had to start over every time they called. One mortgage modification specialist would say that they needed certain documents, then another one would say that they needed additional, or different documents, until finally, one day, a foreclosure notice showed up in the mail because the borrower had “failed” to comply with the necessary procedures. By having a …

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