Excellent site/handbook on predatory lending and illegal debt collection practices

[DragonFlyer]

While most of this information is geared toward military members stationed in Camp Lejeune, NC, it applies to EVERYONE! This informative handbook may be accessed and saved as a Word document here:

 

• Predatory Lending and Illegal Debt Collection

 

 

 

 

Found within this handbook, the following topics are covered:

 

PREDATORY LENDING AND ILLEGAL DEBT COLLECTION PRACTICES

(Rev March 2008)

 

I. Introduction

Secretary of Defense Policy and Predatory Lending

Marine Corps Installation (East) Predatory Lending Policy

 

II. Payday Lending

General information

Typical Payday Loan Scenario

Legality of Payday Loans

Payday Loan Disguises and Evasions

Sham Purchases

Internet Evasions and “out of state†Transactions

False Statements under the MLA

 

III. High Interest, Short Term, Personal Loans

General Information

High Interest Rates

Credit Life Insurance

Disability Loan Insurance

Collateral and Collateral Insurance

Additional Predatory Lending Red Flags

Pretended Affiliation with the Navy, USMC, or DoD

SCRA Waiver

Giving Account Information

Disconnect Between Sales Pitch and Written Contract

 

IV. Car Title Loans

 

V. Seller Financed Transactions

 

VI. Refund Anticipation Loans

RAL Costs

RALs Gone Bad

 

VII. Vehicle Purchase Loans

General Information

Monitoring and Cleaning Up Your Credit

Importance of Credit Monitoring

Free Credit Reports

Credit Freeze

Shop Around for a Good Loan

Deceitful, unfair practices associated with vehicle financing

Yo Yo Sales

Bait and Switch Financing

Fraudulent Financing Applications

Product Packing

Interest Rate Mark Up

 

VIII. Debt Collection Practices

General Information

Federal Debt Collection Law

State Debt Collection Law

Marine Corps Debt Collection Policy

Governing Regulation

Standards of Fairness

Communication of Debt Information to Commanders and Other Third

Parties

Processing Complaints of Indebtedness

Zombie Debt Collectors

 

IX Conclusion: Actions and Reactions

Prevention

Reactions / Threat Assessment