If you're new here, you may want to subscribe to my RSS feed. Thanks for visiting!
Here is a guest post by my husband, Bradford!
================================
Last Saturday, I got a check in the mail. What a great day! In fact, it was an Instant Loan Draft for $1,141.61! All I had to do was sign it, provide my home phone, cell number, social security number, and date of birth and I could spend this money any way I want to.
Manna From Heaven or Devil in the Details
Unfortunately for a lot of people, times are tough and to get a check like this in the mail may feel like an answer to prayers. To me, it feels more like a nightmare ready to spring on someone who isn’t paying attention. This finance company prints the APR (32.391%), finance charge ($657.31), payment schedule (36 months/$49.97), and total of payments ($1,798.92) on the document.
The question is, no matter the shape of your financial ship, does it make sense to pay 32% on any loan? NO! You are paying $657 to borrow $1,141, which is more than half of the original loan amount!
Why I Was So Lucky
As I read the document, I kept wondering “How did they get my name?”. The answer is they pulled my information from my Experian credit report. According to this finance company I had met their criteria for creditworthiness.
Thanks, Really, but I Decline
They did provide an “opt-out” toll free number (888-567-8688) which I used. It took about 5 minutes to follow the voice prompts and complete the process. You know what would have been a far better process? If Experian didn’t make me have to opt out of an unwanted, unsolicited, harmful service in the first place.
Great post! It shouldn’t even be legal to charge interest like that. You’re right; in times like these, people are extra vulnerable to predators such as these. Thanks for sharing, Bradford.