TracGunny
12-14-03, 07:49 PM
You will hear it a thousand times: there are unscrupulous people out there that know exactly what you make, when payday is, and have no qualms in taking advantage of America's Young Warriors.
Firstcoastnews.com
Military: High-interest lenders sink troops into debt
FT. STEWART (AP) -- Fort Stewart officials are criticizing payday lenders, accusing them of preying on troops with high-interest, short-term loans that many can't afford.
Military bases across the nation have become magnets for payday lenders. They make money charging fees as high as $30 every two weeks per hundred dollars borrowed -- equal to a 720% annual interest rate.
Earlier this month, officials from Fort Stewart and Kings Bay Naval Submarine Base urged lawmakers at the Georgia Capitol to crack down on payday loans, which are illegal under state law but thrive because of lax enforcement.
Lieutenant Colonel Russ Putnam, a Fort Stewart lawyer, told legislators that stress over paying off payday loans hurts troop morale and combat readiness. In extreme cases, troops saddled with debt must be discharged.
But the Community Financial Services Association, which represents about 15,000 payday loan stores nationwide, says these businesses are misperceived. It says only about two percent of customers are active-duty military.
Assocated Press
http://www.firstcoastnews.com/news/local/news-article.aspx?storyid=12000
Firstcoastnews.com
Military: High-interest lenders sink troops into debt
FT. STEWART (AP) -- Fort Stewart officials are criticizing payday lenders, accusing them of preying on troops with high-interest, short-term loans that many can't afford.
Military bases across the nation have become magnets for payday lenders. They make money charging fees as high as $30 every two weeks per hundred dollars borrowed -- equal to a 720% annual interest rate.
Earlier this month, officials from Fort Stewart and Kings Bay Naval Submarine Base urged lawmakers at the Georgia Capitol to crack down on payday loans, which are illegal under state law but thrive because of lax enforcement.
Lieutenant Colonel Russ Putnam, a Fort Stewart lawyer, told legislators that stress over paying off payday loans hurts troop morale and combat readiness. In extreme cases, troops saddled with debt must be discharged.
But the Community Financial Services Association, which represents about 15,000 payday loan stores nationwide, says these businesses are misperceived. It says only about two percent of customers are active-duty military.
Assocated Press
http://www.firstcoastnews.com/news/local/news-article.aspx?storyid=12000