There are a lot of people complaining about payday loans, but there are few that are as vocal as those who are struggling to pay the bills. When it comes to consumer fraud complaints, people are very opinionated, and they make their feelings known. The Christian Science Monitor has recently released information about a Federal Trade Commission study.
The information within the study is neither astounding nor shocking. The majority of people who are interested in getting rid of their debt hold a strong grudge against the payday loan industry and for good reason. The majority of people with payday loan debt consider some of the interest rates to be fraudulent in their own right. It has brought up the debate about the legitimacy of these loans and whether it is something that should be allowed in the future.
Consumer Federal Trade Report
A Federal Trade Commission report recently indicated that there are strong feelings towards the payday loan industry among other things. Of course, identity theft is one of the biggest complaints from consumers, but the other two were incredibly surprising. Even though many people knew the debt they were getting themselves into when they took out loans, it is surprising to see how many were upset when debt collectors came to their door.
In many cases, the people who filed as part of the report were being hassled by debt collectors. Although identity fraud was the most with a total of 14% of complaints, the debt collection from payday loans was in second place. The total from payday loan debt collection was around 10% and it came in second place. The people complaining said that many of the collectors were making false statements about the loans or they were just harassing and threatening them verbally.
A lot of people had no idea what kind of recourse they could have within such a situation. They were panicked and many fell victim to other problems as well. At the end of the day, it is very important to be able to get rid of the debt that you owe but getting harassed is the last thing that anyone wants.
Payday Loans and Consumer Complaints
A lot of people think that they are safe in the modern world just because governments do not throw debtors into prison and many of the lenders are not able to take serious physical action to ruin someone’s life. However, harassment can come in many ways and forms. In some cases, it can be almost as bad as the identity fraud that so many millions of people are complaining about and being subjected to all the time.
If you are trying to get out of payday loan debt, consider using a consolidation expert to help you. That way you will have a single person you are liable to and that can help you to maintain the small monthly bills rather than large ones with huge interest rates.
