Automobile name loans really are a booming company, with over 1.1 million US households taking right out automobile name loans in 2013. Taking The Federal Trade Commission on Friday announced funds with two automobile name loan providers situated in Georgia that. File/The Enquirer (Picture: File/The Enquirer)
- FTC cracks down on automobile name loan providers for first time.
- Lenders accused of misleading customers with deceptive marketing.
Customer advocates in Ohio are applauding the Federal Trade Commission’s choice Friday to a target two vehicle name loan providers on allegations they deceived borrowers.
Nevertheless the event is tempered by a fact that is simple It probably won’t modification much right right here.
That’s since the targeted loan providers – First United states Title Lending and Finance choose Inc., both situated in Georgia – aren’t recognized to do business that is much Ohio. A lot more than that, they run under a new business design than car title lenders that are most within the state.
Linda Cook, senior staff lawyer because of the Ohio Poverty Center, said that the Georgia clothes are direct loan providers. In Ohio, many car title loan providers make use of credit solutions company, or perhaps a middleman that works well utilizing the loan applicant while the loan provider. Continue reading