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APR in Texas

Date: Mon, 05/03/2010 - 16:07

Submitted by AmyLC
on Mon, 05/03/2010 - 16:07

Posts: 32 Credits: [Donate]

Total Replies: 7


is this APR legal in Texas?

$500.00 with a finance charge of $127.05 and an APR of 618.31%. The total calculated payback amount is $627.05


You have not mentioned what types of debt is this.
If it is online pay day loan then let me tell you that they are not legal and they do not have any registered office under your state and thats the reason they charge you a very high rate of interest.So whatever payment you make all goes to their illegal interest and nothing goes to your principle amount.
It would have been easy to advice you if you could have mentioned what types of debt you owe.


lrhall41

Submitted by Sara Parez on Mon, 05/03/2010 - 17:12

( Posts: 29 | Credits: )


here is the breakdown of your debt & its APR--
51.52% of $500 in a month.
I bet that it is a payday loan because in texas the APR on credit cards lies between 11.19%-17.99%(99%-1.49% in a month). And since credit cards are legal I assume that the your debt is an internet online payday. Are my assumptions correct?Hope my calculations answer your query. Lemme know if you wanna know anything else


lrhall41

Submitted by Anthony Robbins on Mon, 05/03/2010 - 17:36

( Posts: 35 | Credits: )


Sorry!! Yes, I thought cause I was on the Payday Loan forum, it was assumed. So sorry. I am getting the hang of this tho'

Yes online payday loan my brother got a payday loan with an apr 618.31%
It is a legal payday loan company so he was trying to see if there were any violations. I have a hard time really understand the payday loan law in Texas. I am very very new to trying to put an end to this. I thought I was in it forever.


lrhall41

Submitted by AmyLC on Mon, 05/03/2010 - 18:10

( Posts: 32 | Credits: )


Quote:

Originally Posted by AmyLC
Sorry!! Yes, I thought cause I was on the Payday Loan forum, it was assumed. So sorry. I am getting the hang of this tho'

Yes online payday loan my brother got a payday loan with an apr 618.31%
It is a legal payday loan company so he was trying to see if there were any violations. I have a hard time really understand the payday loan law in Texas. I am very very new to trying to put an end to this. I thought I was in it forever.

What is the name of the lender? In TX, some lenders are registered as CSO's. Basically, a CSO or Credit Services Organization is defined by the Texas Credit Services Organization Act (Section 393 of the Texas Finance Code) as an entity or person that provides one of the following services:
*Improving a consumer's credit history or rating
*Obtaining an extension of consumer credit for the consumer
*Providing advice or assistance to a consumer regarding the previous two services
Please bear in mind the CSO or Credit Services Organization model (unfortunately) IS NO LICENSING required by the state! CSO's are required to "Register" with the Secretary of State, they are NOT licensed, and their fees ARE NOT REGULATED.
If you CLICK HERE you can search the Credit Services Organization data base, but keep in mind that some lenders use dba names.


lrhall41

Submitted by Shazzers on Mon, 05/03/2010 - 19:31

( Posts: 17344 | Credits: )


[QUOTE=Shazzers;694089]What is the name of the lender? In TX, some lenders are registered as CSO's. Basically, a CSO or Credit Services Organization is defined by the Texas Credit Services Organization Act (Section 393 of the Texas Finance Code) as an entity or person that provides one of the following services:
*Improving a consumer's credit history or rating
*Obtaining an extension of consumer credit for the consumer
*Providing advice or assistance to a consumer regarding the previous two services
Please bear in mind the CSO or Credit Services Organization model (unfortunately) IS NO LICENSING required by the state! CSO's are required to "Register" with the Secretary of State, they are NOT licensed, and their fees ARE NOT REGULATED.
If you CLICK HERE you can search the Credit Services Organization data base, but keep in mind that some lenders use dba names.[/QUOTE]

Shazzers is right. They are CSO registered (or licensed as the link says). Check out the following link-
http://www.checkngo.com/stateDisclosures/Texas/license1.jpg
Check out the APR schedule as well-
http://www.checkngo.com/resources/state-center/states/TX.rates#schedule


lrhall41

Submitted by Anthony Robbins on Tue, 05/04/2010 - 10:05

( Posts: 35 | Credits: )