Connect with us

Popular World News

New York state regulator leads probe into payroll advance industry By Reuters

Wealth managers head to Singapore as China concerns dim Hong Kong

ECONOMIC NEWS

New York state regulator leads probe into payroll advance industry By Reuters


New York state regulator leads probe into payroll advance industry

By Suzanne Barlyn

(Reuters) – The payroll advance industry is under investigation by New York’s financial regulator and other states over whether its companies are charging usurious interest rates and engaging in potential violations of payday lending laws, the regulator said on Tuesday.

New York, joined by financial regulators from ten states and Puerto Rico, sent letters to payroll advance companies requesting information, the New York Department of Financial Services (NYDFS) said.

Payroll advances are a type of loan that give consumers access to wages they have earned ahead of receiving their paychecks. Some of the companies, which operate through websites and apps, appear to charge membership fees, “tips,” and other types of fees that add up to the equivalent of usurious and other illegal interest rates, the regulator said.

“High-cost payroll loans are scrutinized closely in New York, and this investigation will help determine whether these payroll advance practices are usurious and harming consumers,” said NYDFS Superintendent Linda Lacewell.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





Source link

Continue Reading
You may also like...
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

More in ECONOMIC NEWS

To Top
error: Content is protected !!
Top