Together Baton Rouge
A presentation on Payday Lending in Louisiana. Provided at the Together Louisiana Statewide problems Conference on 15th, 2014 february.
Function as very first to such as this
- 1. Payday Lending in Louisiana Statewide problems Conference February fifteenth, 2014
- 2. whom? HOW? WHAT?
- 3. Whom Works On The Pay loan day?
- 4. Families with kiddies making $15,000 — $40,000 per year Disproportionately AfricanAmerican or Latino bad Credit History want cash that is extra emergencies and fundamental cost of living Social Security Recipients
- 5. Just How lots of people just take out payday loan in Louisiana?
- 6. Payday really loves Louisiana 23percent of Louisiana households count on predatory financing 6th greatest within the country US typical: 18% About 57,000 Louisiana households sign up for pay day loans per year supply: Louisiana Budget venture
- 7. Payday Business Design
- 8. Payday company Model Billions & billions served # of McDonalds # of Payday stores 12,800 20,600 230 936
- 9. Payday enterprize model = repeat that is multiple as well as the financial obligation trap. Most loans that are payday to вЂњimmediate perform borrowersвЂќ New loans made within a bi weekly duration 76% Loans to one-time users 2% Initial loans to duplicate users 11% brand brand New loans after 14-30 day pause 6% brand brand New loans after 30 time pause 5%
- 10 source site. Payday enterprize model = repeat that is multiple together with financial obligation trap. Many payday revenue comes from вЂњmore loans per customerвЂќ
- 11. Payday enterprize model = numerous repeat loans plus the financial obligation trap. Within the their very own terms вЂ¦ вЂњin just about any big, mature cash advance profile, loans to duplicate borrowers generally constitute between 70 and 90 per cent associated with profile, as well as some loan providers, much more.вЂќ вЂ“ Community Financial Services of America (leading payday industry trade relationship)