In the Battle Over Florida’s Racially-Charged Cash Advance Racket

In the Battle Over Florida’s Racially-Charged Cash Advance Racket

Whenever Jon Gomez required some fast cash to fix a cooling fan inside the 2007 Toyota, the 38-year-old distribution driver relied on a favorite economic solution provided by Amscot—The Money Superstore. The Cuban-American said he took away a $400 cash advance at certainly one of their places in Hialeah, Florida, where he lives.

All Gomez had to do was prove employment and write out a personal check from a valid bank account post-dated by 14 days, at which time he was set to receive his next paycheck to get the four Benjamins. He consented to pay off the complete quantity, along with a $41 finance fee, Gomez recalls.

It reached a place that the person did not have sufficient money to protect one of is own pay day loan checks, plus it bounced. Under Florida legislation, Gomez cannot obtain another payday loan until he settles the outstanding one. “That turned into a blessing in disguise, ” he recalls. “we will not place myself with debt that way again. “

Gomez is amongst the thousands of cash-strapped Floridians whoever misery that is financial helped payday lenders like Amscot rake in billions over the past decade, based on a research released a week ago taking a look at cash advance deals within the state between September 2005 through might 2015. The report had been put together because of the Center for Responsible Lending, a customer advocacy company for low-income individuals, plus the nationwide Council of Los Angeles Raza, the Florida Alliance for customer Protection, and Latino Leadership Inc, a nonprofit agency based in Orlando.


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