Which payday loan scams are getting more attention?
Google News has uncovered a new trend in the payday loan industry.
Some lenders are asking borrowers to pay a $100 upfront fee, while others are offering the same fee as a loan with no down payment.
Here are the top payday loan scam headlines from the past few months: 1.
PNC Bank pays $50 upfront fee to get borrower into $500 payday loan: PNC Bank is making $50,000 in payments to borrowers with a $500 down payment, according to the Federal Reserve Bank of Philadelphia.PNC’s latest offer is a $1,000 loan with a down payment of $500.
Pnc Bank says it will provide up to $1 million in down payment assistance to borrowers who meet certain criteria, including a minimum down payment and a minimum credit score.
PillarPoint, another lender with a similar $500-plus-down-payment offering, said the company will make $1.4 million in monthly payments to 1,600 borrowers with $500-$1,500 down.
PNC said it will offer an $80 monthly credit limit for new borrowers, and will offer a $5 monthly loan modification if a borrower has a balance that exceeds $1 billion.
Priceline.com, another payday loan company, announced a $50-$60 monthly payment offer to 1.5 million borrowers.
The company says the $50 monthly payment will be deposited in a personal checking account and then used to pay off the balance in a payday loan.
In September, payday lenders and online payday lenders agreed to a $20-per-month limit for borrowers with credit scores of 620 or higher.
Pelican, a company that provides payday loans to borrowers, said it would offer $50 per month to borrowers up to 620 points.
“If you’re a student, you can apply for a loan directly with Pelican,” Pelican spokeswoman Rebecca Blythe said in an email.
Bank of America offers $200-$500 payday loans for a $25 upfront fee:Bank of America says it is offering $200-plus interest-only loans for borrowers who are paying a minimum $25 for a payday or installment loan.
The company said it is “working to increase the maximum number of borrowers who can receive a loan.”
The $200 loan offers the maximum loan amount for the first time in the company’s history.
Bank of American said it also is adding a $250 loan option, which is available to borrowers in the United States, Canada and Puerto Rico.
The company says that it has not offered a similar offer to consumers in any of its markets.
Best payday loans offer $100 cash back or $1-per-$1 in-kind cashback offers for $500 or more:Best payday loans are offering up to a 100% cash back offer for customers who pay an upfront $500 fee or $2.5-per $1 in cashback.
The offer applies to new and existing customers with credit reports up to 850, or for those who have a credit history up to 4,500.
Best offers the same amount of cashback to borrowers whose credit scores are at least 850, with an additional 10% cashback for those with a credit score above 4,000.
The offers are only available in the U.S. and Canada, but are available to new borrowers with no debt, and those with credit ratings of 700 or above.
Chase is offering up $250-$500 in-person payday loan offers:Chase is offering a $300-$500 cash-back offer for new customers and existing Chase customers, with a minimum payment of up to two months’ pay.
A $200 fee applies to the offer, and the offer includes a $10 cash-in-hand bonus, for those making payments on time.
Bankwest is offering two-week payday loans with $1/day interest rates: Banks are offering two weeks of payday loans at a rate of $1 for the full $1 loan, and $1 per $1 of interest, according the Wall Street Journal.
Banks say they are working to streamline the process of offering payday loans and that the move is designed to allow borrowers to apply for payday loans in as few as two weeks.
Wells Fargo is offering its own $250-per month payday loan offering: Wells Fargo says it has offered a $200 monthly fee for its new $250 payday loans.
The $200 is deposited in bank-issued checking accounts and then transferred to the borrower’s account on a monthly basis.
Wells Fargo’s new offering, which has not been previously announced, has a $150 fee upfront and a $15 fee after the first $100.
Citi has a similar two-year payday loan offer:Citi says it offers $500