UPDATE: J'ville woman shares 'Payday lender' woes
POSTED: Friday, January 6, 2012 - 10:14pm
UPDATED: Wednesday, January 25, 2012 - 4:28pm
JACKSONVILLE — One payday lender website says this: "Payday loans are also commonly referred to as cash advance, payday advances, payday advance loans and fast cash loans"
It looks tempting to many. Last night after our story aired, East Texans responded.
The Better Business Bureau tells KETK, they have an average 400% interest rate.
And many accuse the places of preying on the needy.
One woman from Jacksonville -- who wishes to remain anonymous -- completely agrees.
"They're money hungry! They're stealing from the poor," she said.
She says her daughter got a loan from a lender in Jacksonville to pay a bill. She just thought it would be easier than going to a bank.
"It's a $150 loan but they make you pay almost $400 back," she said.
We tried to contact a man who represents payday lenders on Friday about our update to this story.
We got no response.
But, we have this statement from him from Thursdays story.
"This option is typically less expensive than bouncing a check, or floating a check at the end of the month or getting a cash advance on a credit card, so most of the customers - of the options available to them, this is the least expensive of the realistic credit options that are available to them," said Robert Norcross with the Consumer Alliance of Texas.
Thrifty Loans is where our anonymous interviewee says her daughter got her loan. And she says, they've even threatened her and her family.
"They call you up, they curse you out, they call you names and everything else. I guess that's their way of threatening people," she said.
And she says it's not just her daughter they call.
"They call my sister up, they call our family up and chew us out, they threaten to come to our houses," she said.
We want to emphasize...KETK did contact Thrifty Loans for comment -- but they didn't return our phonecall.