What type of regulations should I expect in Las Vegas
Let’s put aside regulatory and legal questions for a moment. Besides those, there’s a lot you need to consider if you live in the Las Vegas metro area and are thinking about taking out an online loan. For instance, do you really need to borrow money in the first place? Do you know what type of lender you want to work with(online service or local company in your city)? How much money do you want to borrow and what type of terms are you trying to negotiate? Those are probably the most common questions you need to consider before you look into the regulatory aspects of what’s available.
Assuming you have a general idea of what you want, we can now get into whether your lending needs are even realistic. Here in Las Vegas, it’s easy to get short term financing. You can go to a local pawn shop, installment lender or even fill out an application for a payday loan online. There’s also the option of using you vehicle as collateral for a large high dollar loan. With a car title loan, you can get thousands of dollars for your pink slip. But, you face the risk of losing the vehicle if you happen to fall behind on monthly payments. Las Vegas doesn’t really have any specific regulations in place on a city or metro level. There may be a few small ordinances, but on the whole you’re going to pay attention to lending restrictions in place for the entire state of Nevada. As the law is currently laid out, a Nevada resident is not limited to any specific number of concurrent loans or companies they can work with. Additionally we know of no limit when it comes to the amount of fees or finance charges that any registered firm can charge with a payday loan. We do know of a few specific regulations in place. You can no extend an online loan for any time that exceeds 60 days. If a loan or cash advance ends up in default the finance rate can be no higher than 10% more than the rates set by State banks. Lastly, AB163 is an Assembly Bill that seeks to mandate a consumer to be able to payback a loan. With the proof to pay, online payday loan companies would need to check and verify that a borrower does in fact have the ability to pay back a loan.
Why do I need to know these online lending rules?
You need to know these rules for a few reasons. First of all, you don’t want a company to take advantage of you. As unfortunate as it sounds, there are some payday loan and installment loan companies who would gladly have you sign documents or financing agreements without you reading through them. Some of these firms are unlicensed and operate completely online and they may end charging you more than you can afford or agreed to. Secondly, you can save a lot of money and hassle by knowing the rules regarding online loans. Once you familiarize yourself with these regulations you will have a better idea of what you need. You can also use this information to compare rates and terms among the many different lenders as a way to get the best online financing deal.