Unless you have been living under a rock, you know all about what has been going on in the U.S housing market. With houses being foreclosed left and right, it has put house values at an all time low. Most believe that this was due to large mortgage companies writing bad home loans and giving loans to individuals who clearly could not afford to own a home (or at least the one that they wanted to purchase).
Now until March the U.K government will be offering “A No Money Down Mortgage”. It basically is exactly what it says it is. People who normally could not afford to buy a house because of the down payment, now can. There has been a very split reaction on whether this is going to help or hurt the U.K economy. People are going to be buying houses, putting house sales and values on the rise, and the housing market will be booming. But what happens when the home owners realize that they are in over their heads and can not pay the payments? First they miss one payment, then two, until before they know it their house is being foreclosed.
It almost seems that somehow people do not listen to the world news over there. The same effect that happened to the U.S is going to happen to the U.K. You think that they would have learned from our mistakes. What is almost more shocking is that people think that the government is actually trying to help them. According to Alastair Stewart “Every scheme in history the government has tried to implement in the housing market has gone completely toes up,”. I don’t know why people think that this is going to be any different. All I know is that I hope the U.K does not come to us asking for money when they are in our position two years from now.

The generation gap between the boomers and younger generations is becoming more apparent and widening the gap even more with the effects of the recession. Dropping home prices and stock values give employed people in their younger years an opportunity to invest and purchase in ways that would not have been possible to them without the drastic decline in value from the recession. On the opposite end of this scale, the aging generations such as the boomers are taking a large hit, watching their homes and 401(k) accounts drop by huge percentages in value.
First-time home buyers being offered $8,000 tax credits, and the stock market at all time lows adds extra benefits for generation X’ers looking to get a head start. People in their 20’s or 30’s have plenty of time to get in now and watch their investments grow, giving them a huge advantage to someone in their 50’s or 60’s looking to retire.
According to msnbc.com the Consumer Price Index has recorded a rare drop over the past 12 months, 1.5 percent. The decline for many goods and services has been much greater, allowing young people to put even more money into stocks and housing.
For those who are fortunate enough to have remained employed and have the opportunity to invest have a great advantage….For those who have been working all of their lives to retire and now are faced with hard decisions and losses, it feels as though they are being taken advantage of. It’s scary to think that even the best layed out plans could turn bad.
Recently there has been enormous amounts of discussion surrounding Payday loans, and the push by some to get rid of this option. With the economy in the state that it is, and people’s budgets and financial futures in question Payday loans are the stepping stone to help people get from point A to point B. They may not be the perfect solution to the problem, however at the time, they may be the only.

Phoenix June 30th, 2009 — LeadPile, The World’s Largest Online Exclusive Lead Exchange announced today record results for its MicroClick Form (http://www.microclick.com) in June, 2009. LeadPile reports a record number of Lead Verticals being served by its MicroClick Form with Lead Sellers producing leads in 61 different verticals in the month of June. This makes the LeadPile MicroClick Form the most widely used Multi Vertical Lead Generation Form in the lead Marketplace and Lead Exchange Industry.

LeadPile’s Centralized Online Exclusive Lead Marketplace supports thousands of affiliates that use the exchange to sell to suitable lead buyers. By using the LeadPile MicroClick Form, Affiliates can focus on driving traffic to their pages and not on managing lead buyer relationships. Over 90% of LeadPile’s active affiliates are currently using the MicroClick form, offloading the responsibility for lead collection, management, technology infrastructure, and quality control to LeadPile.

Astoundingly, LeadPile’s MicroClick form has been used to produce leads as diversified as Tax Debt Relief, Home Improvements, Business Loans, Health Insurance, Equipment Leasing, Credit Card Processing, Cash For Gold and more.

Andrew Jacob, CEO of LeadPile says, “The LeadPile MicroClick Form allows us to handle leads across multiple verticals, including payday, starter credit, debt consolidation, credit repair, bankruptcy, auto financing, and homeowner. While the majority of leads currently being exchanged in the  Marketplace are in the Financial sector, the fact that Lead Sellers are using the MicroClick form to produce leads in over 60 verticals is very rewarding for our team.

Jacob adds, “I would like to personally thank our existing Lead Buyers and Leads Sellers for their business, and it is our promise to everything we possible can to help them in their efforts by continuing to provide the type of technology infrastructure and transparency that they have come to both expect, and deserve, from LeadPile.

To read more, please visit http://www.LeadPile.com/

We all know payday loans don’t exactly have the best image, however there are a need for them in certain situations. I came across this article on personalmoneystore.com, discussing a very interesting type of loan. This “automobile down payment loan” is said to be a loan that no credit check is performed, and there is no collateral securing this loan. However, after reading more about this, I thought this reminded me of a payday loan, but with a different name.

We all know lending requirements have gotten a lot more strict, however consumers still need to pay close attention to the specifics of any money they are getting. Don’t get me wrong, this is not necessarily a bad thing that consumers should not look at. However, maybe the key to getting a more positive image on the payday loan industry is to put different “names” on the loans. Leadpile will keep an eye out for any other names we identify as a payday loan.

With so many consumers being really strapped for cash, and banks trying to find additional revenue, some banks are offering an alternative type of loan which appears to be like a payday loan. As we all know, payday loans are issued by payday lenders, not necessarily our local banks.  However, Tennessee’s Fifth Third and U.S. Bank are offering 35 day payday advance loans.  According to Nashville Business Journal, “The loans come with an annual percentage rate of 120 percent, or a 10 percent fee on money borrowed. That’s a rate much higher than almost any other form of credit, other than businesses that offer pawn, title or unsecured payday loans, which often charge fees as high as 400 percent APR.” So my question is, is this the beginning of banks now offering payday loans? Will they have to go through the same regulations as the payday lenders are having to go through?

Brick and mortar payday stores, online payday lenders and others that deal with payday loans are facing more and more regulations these days.  Will our nation’s top 10 banks now be on that list of those being faced with the payday loan regulations?

The economy is bad, and consumers are needing help with their mortgages and debt. Leadpile realizes this, and so does our advertisers/lead buyers. There are loan modification and debt companies out there looking to help more consumers. Leadpile is looking for those people to be matched up with our advertisers to provide these services.

Leadpile Lead Exchange makes it quick and easy for lead publishers.  Here are the offers you can get up and going in minutes.  This is a great way for these consumers to fill out the required information, and be matched up with those that can provide the service to them!

In recent news, South Carolina is the next state to be heading in the direction of payday lending regulations. According to the Augusta Chronicle, the South Carolina house of representatives has passed a bill preventing consumers from taking out more than one payday loan (up to $600) at a time. In addition to the number of payday loans being potentially allowed, the bill requires the industry to allow customers to go into a extended payment plan if they can’t meet that deadline (without incorporating more fees). This bill is now going to be headed to the Senate to be voted on. If this passes this is just another state that is cracking down on payday lenders. Leadpile Lead Exchange will be keeping an eye on this.

Payday loans, also known as a cash advance, are a very large business in the United States.  These short term loans often are under a lot of scrutiny from lenders and government agencies.  However, it is hard to ignore the fact that I read that the payday loan industry is potentially lending 50 billion dollars.

These short-term loans are being taken out by people who need cash and possibly their bank, credit union or credit cards are not an option.  As I have pointed out before, the average person taking out a payday loan is not what it used to be, or what people generally think of as a “typical” customer. According to Indystar.com, “the average household income for Advance America customer has risen to $43,000, with 90 percent holding at least high school diplomas and half with some college. About half have credit cards.” Indystar.com also goes on to point out that nationally, the number of payday outlets has gone from zero in 1990 to about 25,000 today. However, many choose the convenience of searching online for their short term loan, and then get matched up with companies like Leadpile Lead Exchange to then connect them to that needed payday lender. The fact that this industry is potentially a 50 billion dollar industry, points out that there is definitely a need for these short term loans.

In recent news, another state has implemented regulations regarding payday lending locations. An ordinance was passed in Springfield City, IL requiring a minimum distance between payday loan stores.  It appears some legislators are also looking to try and get some regulations implemented about the maximum interst rate allowed on the loans.  This is something that is already in place in several states around the US.  Leadpile Lead Exchange will keep an eye on this, because we are working a lot with the payday loan industry and always want to keep updated on any new news going on.

A recent post by the Payday Pundit brings light to an interesting article in the Omaha World Herald.  This article draws a comparison between the payday loan fees and the health care industry.  According to the Herald, “A study of payday loans in the Omaha area concluded that more than $19 million in excessive fees were not spent in other ways last year, with the health-care industry bearing the brunt of the lost dollars.”  The article also goes on to say payday loans should not be banned because the alternatives are even worse for those states that have payday loans outlawed.   I am confused?  Do they want to keep payday loans or get rid of them?

Leadpile Lead Exchange is always looking for news going on with different states in the payday loan industry, however I am a little unclear if this is a article to promote payday loans or an article against payday loans?  How do you see it?

Over and over I am bringing the attention to the payday loan industry, and really how it is not necessarily taking advantage of consumers.  I couldn’t resist a good post on the Payday Pundit, who brought up some good points about a payday loan.

“Let’s consider some alternatives for the working mom who is short $100 until payday, 14 days from now. She could get a $100 payday loan, pay $15, and the APR for that two week loan would be 391 percent..

She could also choose to write a bad check and pay an average of $48 in NSF and merchant fees. That would be a comparable APR of 1,251 percent!

Even if she has courtesy pay with her credit union, the average fee is $25, or an APR of 650 percent. Another option for her might be to not pay the $100 minimum balance due on her credit card, resulting in a $26 late fee—678 percent. If she chooses to not pay her $100 utility bill which may result in a $50 late or reconnect fee, that’s a comparable APR of 1,304 percent!

The argument can be made that by securing a payday loan to solve her cash flow needs, this woman is taking a proactive approach to her financial dilemma.

The Center for Responsible Lending indicates the 11 states that banned or limited payday lending saved consumers $1.4 billion in fees in 2006. But eliminating local payday lending activity does not eliminate the need for emergency cash loans. People still come up short prior to payday and the center does not address how these consumers managed their cash-flow problems. If they had to use one of the other alternatives, or had to drive to an adjoining state that made payday loans, or used the Internet to get an even higher priced loan, it is possible consumers in these states paid even more to solve their cashflow problems.”

This just keeps going back to the fact that there are bad with everything, and if you abuse the use of a payday loan you will NOT be in a better position.  However, as Credit Union National Association and the National Credit Union Foundation state there are other alternatives that could be worse for a consumer.  Education is key with payday loans and any other type of financial solution customers choose to take.

Question is, the holidays are now here and there are going to be families that need those gifts and food on their table. Is the payday loan the smartest solution for that consumer?  Leadpile Lead Exchange will be here no matter what the answer to that question is, to provide the service to the consumers that DO need this temporary loan.

Sad days for those in AZ and OH with regards to payday loans.  Many are not sure how these initiatives lost in the voting, however they did.  This is going to affect a lot of brick and mortar stores located in these states.  This is a very large deal, because there are quit a few stores located in these states. Where do we go form here?

According to PDL blog, image might have had something to do with being able to get legislation passed on the payday loan industry. Did the misconception of a payday loan really have that much affect on those that were voting on these propositions, or did voting consumers really not want to have payday loans around any longer?  Now some lenders in these states and going to be closing down some of their stores. So how will this affect the internet payday loan industry? Will it be affected?
The good news is that some of these lenders that will be closing down locations, will now be looking at alternative options to offer the consumers. One of the alternatives is a short term unsecured loan.  This type of alternative will then be able to still provide some assistance to those that are in a temporary situation, but do not have the ability to get a payday loan or any other “bank” loan.

Time will tell.  I am sure all eyes will be on this industry to see if this recent legislation will affect what direction other states pursue……. or if there is a way to “try again” to get this legistration overturned.  Leadpile Lead Exchange realizes that there are consumers that really need assistance with their unforseen debt/bills.  We will continue to try and match up those consumers with the lender that can help them take care of this issue.  Loan modification, tax debt relief, debt consolidation, debt settlement, credit repair and others are lead types where we are trying to get the necessary help to the consumers.