Payday Loan Companies Took Fees From Consumers Who Didn’t Apply For Loans

PaydayloansignforWeb Payday Loan Companies Took Fees From Consumers Who Didnt Apply For LoansPaying sky-high payday loan interest is bad enough. But when payday loan companies charge fees even if you don’t apply for a loan, that’s especially egregious.

Better Business Bureau is warning consumers nationwide about a cluster of online payday loan businesses in Las Vegas that have been taking $30 from bank accounts of people who browsed their websites in recent months. More than 370 complaints have been filed against the companies over several months.

The seven loan companies, all based at the same Las Vegas address, have websites that are virtually identical except for the company names. The names include Capital Advance Capitol (also known as Loan Assistance), Vantage Funding, Palm Loan Advances, Ideal Advance, Loan Tree Advances, Your Loan Funding and Pacific Advances. All except Your Loan Funding have “F” grades with BBB. Your Loan Funding is not rated.

Most of the people who complained said they never formally applied for the loans, and a few said they had no idea how the businesses got their bank account numbers. Some said they left the sites after viewing information on the loans.

BBB’s tips for consumers to avoid being scammed by such sites include:

  • Don’t give your banking or personal information to unfamiliar people or websites.
  • Read and understand all the terms and conditions of any website for a loan company before you enter any information.
  • Before doing business, check a company’s BBB Business Review at bbb.org.

Read more.

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About Jerri Stroud

Jerri Stroud is editor for the BBB Serving Eastern Missouri & Southern Illinois. She joined the BBB in 2008 after a long career as a reporter for the St. Louis Post-Dispatch.