CFPB, Elevate and LoanDepot IPO Cancelled, Gas Prices & Pawn Destruction
Published: Thu, 01/28/16
By: Jer Trihouse. Alternative Financial Lenders (AFS) which includes payday loans, installment loans, pawn, title loans… and the new variation of FinTech lenders such as Lendup, Prosper, Lending Club, Avant, Enova, Elastic, OnDeck… are getting “creamed” of late!
In light of the devastation of stock prices and their immediate expectations, and the fact that gasoline prices are well under $2/gal in many of our demographic markets, it’s no surprise Elevate Credit (NYSE:ELVT) and LoanDepot decided to pull their IPO, nor for CSH to drop their unsecured payday loan products like a hot potato – other than in Ohio. QC has applied for delisting by the NASDAQ. (Low gasoline prices is killing the pawn industry as well.)
The CFPB represents a HUGE hammer that is about to smash these online business models to bits.
APOLOGIES IF YOU RECEIVED MY EMAIL 2X! I SCREWED UP :-(
City ordinances are not helping brick-n-mortars either; particularly in Texas. None of us know how bad this will be. Of course, the FED take’s delight in this. I only wish I had been at the after party when they announced a $1.2 BILLION DOLLAR fine against Scott Tucker!
Read more my entire rant here: http://paydayloanindustryblog.com/3497-2/#ixzz3yZB7FlxV
Also, read: Elevate Credit – Innovative Financial Services Or Online Loan Sharks? Jury’s Out
Read more: http://paydayloanindustryblog.com/3497-2/#ixzz3yZBWs2ri
By Carter Dougherty
Posted with permission from Value Walk
QUESTIONS? Help?? Jer@TrihouseConsulting.com 702-208-6736