Yet, which hasn’t stopped payday loan providers from with the unlawful justice system to pursue significantly more than 1,500 borrowers when you look at the state.
Payday loan providers are regularly embracing the courts looking for unlawful charges whenever borrowers don’t possess the funds to settle their loans on time, a written report from Texas Appleseed discovered. Such costs often leads to arrest and on occasion even prison time in the event that courts choose to pursue an instance.
“as well as their crazy prices and financing practices, cash advance companies are illegally making use of the unlawful justice system to coerce payment from borrowers,” said Ann Baddour, director of this Fair Financial Services Project at Texas Appleseed. Read more