DFS Investigation Uncovers on the web Payday Lenders Shifting to Use of Debit Card Transactions as Pressure Mounts on Their punishment of ACH Electronic Payments Network
Superintendent Lawsky Sends Cease-and-Desist Letters to Extra On Line Payday Lenders Illegally Lending in Nyc
Governor Andrew M. Cuomo announced brand new efforts to halt the processing of unlawful payday advances through debit card transactions and assistance protect ny customers. MasterCard and Visa have actually agreed in talks with all the Department of Financial Services (DFS) to simply simply take a number of actions to simply help stop this activity that is illegal their debit card sites. A continuous, substantial DFS research has uncovered that – as regulatory force mounts on online payday lenders’ abuse of this Automated Clearing House (ACH) bank payments community – some loan providers are rather making use of debit card transactions as a conclusion run around that system to illegally subtract funds from New Yorkers’ bank records.
Benjamin M. Lawsky, Superintendent of Financial Services, also today sent cease-and-desist letters to 20 extra organizations that DFS’ ongoing research has defined as illegally advertising, making, or collecting on pay day loans to ny customers – 12 of which be seemingly applying this debit card tactic that is new. 继续阅读CUOMO MANAGEMENT TAKES ACTION TO PREVENT PROHIBITED, ON LINE PAYDAY LENDING THROUGH DEBIT CARD NETWORKS