Superintendent Lawsky Sends Cease-and-Desist Letters to Further On Line Payday Lenders Illegally Lending in Nyc
Governor Andrew M. Cuomo announced efforts that are new stop the processing of unlawful payday advances through debit card transactions and help protect ny customers. MasterCard and Visa have actually agreed in conversations using the Department of Financial Services (DFS) to just simply take a few actions to aid stop this illegal task over their debit card companies. A continuing, substantial DFS research has uncovered that – as regulatory force mounts on online payday lenders’ abuse regarding the Automated Clearing House (ACH) bank payments community – some loan providers are rather utilizing debit card transactions as a conclusion run around that system to illegally subtract funds from New Yorkers’ bank reports.
Benjamin M. Lawsky, Superintendent of Financial Services, also today sent cease-and-desist letters to 20 extra organizations that DFS’ ongoing research has recognized as illegally marketing, making, or collecting on pay day loans to New York customers – 12 of which seem to be applying this debit card tactic that is new. Continue reading CUOMO MANAGEMENT TAKES ACTION TO HALT PROHIBITED, ON LINE PAYDAY LENDING THROUGH DEBIT CARD NETWORKS