Definition of a loan broker
:hmm:
Tell them thanks for the response and you'll be sending it straight to the Florida Attorney General's office.
we are first of all not a loan broker
Definition of a loan brokerthat we “apply for and secure” loan offers on your behalf
:hmm:Middleman who brings together borrowers and lenders.
Thoughts?
we are not lawyers. if you're serious about this, maybe you should consider contacting one.
(not to be a jackass, cuz I find this thread amusing. good luck.)
Consulting a lawyer costs money, probably much less than $150. I want to make sure I've got a good case before I go spending money to fight these guys. Otherwise, I'll just cut my losses and pay the $150.
Consulting a lawyer costs money, probably much less than $150. I want to make sure I've got a good case before I go spending money to fight these guys. Otherwise, I'll just cut my losses and pay the $150.
My lay opinion is that the $150 is not an advance fee, since they justify it as a "processing fee", which seems to match the bolded sentence above.http://myfloridalegal.com/pages.nsf/main/4987dff802f560e485256cc7006b7fc4!opendocument, previously quoted by Cuda1447 in [post=31257502]this post[/post]
Question what the fee is for.
When it comes to qualifying for a loan, requiring the consumer to pay a fee before he or she knows he or she will get the loan is an industry-wide practice. Legitimate companies typically charge a fee to process your application and apply the fee to cover the costs of researching your credit worthiness. Advance fee loan schemes claim that payment of the fee will "lock you into the loan" so that you will not lose out to others competing for loans. Such hard sell tactics should be a red flag from doing any further business with the loan broker, especially if the company encourages you to send the money that day and is willing to pay for an overnight mail company pick-up at your home or office.
That doesn't sound like a hard sell. This company seems shady, especially the fee hidden in the fine print, but "advance fee loan schemes", as described by that page, are really shady.The doctor had referred her to a couple sources to get a loan for the boobs if she wanted. She had filled out an application online for one of them. It took them awhile to get back to us and we decided we would just pay cash for it afterall. When they called her she informed them she wasn't interested in getting their credit card/loan.
My lay opinion is that the $150 is not an advance fee, since they justify it as a "processing fee", which seems to match the bolded sentence above.
That doesn't sound like a hard sell. This company seems shady, especially the fee hidden in the fine print, but "advance fee loan schemes", as described by that page, are really shady.
My guess is that the problem with "advance fee loan schemes" is that they could charge and collect the fee without actually pulling credit reports. Since it is likely that their customers are less savvy and have awful credit, they could decline instantly and rake in pure profit.Right, they do say legitimate companies charge these fee's. In the next paragraph they say the fee's are illegal in certain states, including Florida, unless you're exempt from the prohibition (bank/credit union).
It isn't very clear, but the way I follow that is: Some companies charge this fee.. .. most of the time it is a shady practice, but some companies are legit. This fee is illegal unless you are exempt and a legit business (bank/credit union). Otherwise, fee is illegal. Probably due to the amount of shady business practice associated with it?
It is difficult to understand though.
Another question. I am inclined to email this company back yet again, questioning what they are if they aren't a lender and why they hide the fee in the terms of service rather than disclosing it clearly. I honestly don't expect to get any positive/useful responses, but what is the downside? Worst case scenario I end up paying them $150. Best case this asshat slips up and gives me something useful that I can use to fight him. Thoughts?
Furthermore, there have got to be some laws about fee's needing to be disclosed clearly and visibilbly when signing up for services. There website clearly states there are no application fees. It doesn't say anything else about other fees, except buried in the TOS. My wife missed that, obviously that's what they rely upon. It doesn't make what they are doing any less shady and/or illegal.