What payday loan/cash advance leads seem to be selling.
Based on my observation of the payday lead industry, there seems to be a handful of qualities that the payday lead buyers are wanting. These specifics could change, but from what I am seeing these are what leads are selling:
1. The customer are not in the military.
2. The customer has a bank account and preferably checking account with direct deposit.
3. The customer is employed for at least 6 months and making at least $1200-$1500/month income.
4. The customer is employed, not receiving benefits or self employed.
5. The customer provides accurate banking information and other information on their application (payday lead buyers have a way of confirming if it is invalid bank routing# or invalid social security numbers).
6. The customer is not in default on another payday loan or not actively in the process of getting a payday loan with another lender (will show as a duplicate in Teletrack).
7. Some states have implemented payday lending laws and those leads will have a harder chance at selling if they sell at all.
8. Some payday lead buyers do not buy on the weekends, because they are not there to work the leads.
The question is, when will these criteria change or when will another state implement payday lending laws that prohibit these kinds of loans? This lead type reminds me of the subprime mortgage era. The best of the best will have to keep up on the laws, and what the payday lenders are really looking for to be successful in generating this lead type. Some of these customers really do need the assistance and this payday loan will make or break if they “survive” to their next payday.