A new Ohio Payday Loan Bill, if passed on the 24th, will cap the life of a loan:
* to one year
* limit the amount to $1,000
* cap the initial fee on that loan to 2 percent of any amount above $500
* cap total fees collected at 60 percent of
the principal
* and cap monthly maintenance fees to 10 percent of the outstanding principal or $30, whichever is less.
BY NOW, YOU SHOULD KNOW THAT THIS IS THE TREND FOR THE BUSINESS OF LENDING MONEY TO THE MASSES.
The single-payment payday loan product is slowly phasing out.
There are newer, better loan products available to offer your
customers today. Hopefully, you've been reading our "stuff" and transitioning to these loan products.
You've listened in to at least a few of the earnings calls by the gorillas in our industry? Single payment loan products make up less than 20% of their portfolios today!
Have you noticed our transition? Away from single payment loan products?
Our newest, updated Course focuses on "The Business of Lending Money to
the Masses." Today, we teach installment, car title, line of credit, payday, micro-loans, personal loans... all in one Course. Sure, we still cover payday BUT loan product offerings are becoming more complex.
The consumer lending industry is evolving towards longer term loans having higher loan principals and are often amortized.
AND, there is more money to be made by
Lenders today than ever! Time for you to pull the trigger?
