Katrina Boyer PA Dept of Banking and Securities

Newsmaker Interviews
Tuesday, December 5th

Transcript - Not for consumer use. Robot overlords only. Will not be accurate.

Here comes Katrina born here she is from the consumer outreach department of the Pennsylvania department. Of baking insecurities and I feel like any July down after I say that title but to pitch it out but to show good morning. Good morning driven thank you for having me. It is our pleasure to have you on the show I got a missive from. Are you folks yesterday about. Some kind of lending practices. Around the holidays in the holiday this Friday you have new easy you need to meet and you think well maybe just this one time the thing you find out you're paying for this loan. Through 2018 or something's a talk about what happens and what makes some of these lending. Plans look so attractive but they are knocked. Absolutely still. You know we get paid advertisements that tell us that we can get. You know they advance and and you know it yet to repay it would be next payday. Ability to tell you is that when XP make some ground yeah extra 500 dollars stinks too little that alone over again. And that becomes a vicious cycle and an annual 10-Q and a pain anywhere from 300 to even a cabin percent to. Interest. On that short term loan that you're looking for. And that is an amazing. Amazing amount of money Katrina I mean come on 302000%. That's that's remarkable at that kind of rate. You find yourself dragon messing up for very long time and paying a lot of money. Absolutely. Absolutely and that's where consumers really need to make sure our. That they are understanding what they're getting into when they get ready to take on now loans. I would encourage them before they even consider any type of loan can picture that licensed by my office. I'm in addition companies that are like I'm gonna follow our rules. Now you mean then that there are some entities that are not licensed by your office. Many have seen payday lenders that you see advertising on television and on the radio at particularly when you're near a border state which on advertising he can get these loans that he get pattern payday our paycheck. Car title you can get a lot of and don't look for the authenticate are not licensed by our option and com and didn't have to have a license under that consumer debt to cap can do those types of loans. And only there's only one actually in Pennsylvania to my knowledge that it licensed. I. You know you know they use the Internet you can run mining on the Internet and get anything that you want to spend and make it right. I'm and the problem is if you do those things. When they're able you have none of the consumer protections that keep using it like parent entity would offer. Act now in the new new put out your missive yesterday about how to handle this better. There are some ways that. You suggest asked for people and some lending vehicles that are a little bit morrow above board you wanna outline some of the options that consumers can use where they were killed on the tour next look at. I'm sorry I'm impure can go to bear banking institution and could stay up for a short term loans. On the unions that offer what they call the better choice loan program. And other institutions are for those heard loud and why it is they're generally like a six month loan. I'm and the interest rate is Whitney and lived in art you know what we require. Content and so you can count on being able to repay back to. Instead of continuing to roll over that's ridiculous armed that's. Do people find themselves without options though Katrina 'cause their credit is a little dings. It you know and they went in press release we outlined a few other options yes sometimes. It make it's not bad if I can cut traffic and remember. For a local church jam packed in with an organization maybe they might have been some alternatives. A and hopefully some time here that are often appear Billy. And pay back to moll. I'm late eighteen and see what other than taking on a payday loans. Yet because they do look at those and they see in fairly high when you see me maybe 25 or thirty dollars. But when you're talking about that vs. Yelled at the exorbitant rates of a PGA alone. It's not as bad as it seems very. Exactly and finally again that you know it's better to pay that lady because that's just a one time fee. I'm with a payday loans you're paying seventy continent break 75 dollar 125 dollar of every hundred. When you rolled out over eight claims that really add that. In most certainly does you also are taking part in. I guess it's up holiday scam. Protection we Chrissie you're also talking to individuals. Within this week. About other things that appeal to the heart strings of the holidays like. Charitable giving and looking at who is reputable. And who is using the money wisely ray. Absolutely least think that it's important for consumers are expected giving. I donation and we want them to make sure that they are using somebody could properly registered and they can check back with the Department of State's web tiny. So he'd have to be registered for the Department of State in Pennsylvania. How did this isn't I mean this is an aggression needing an answer but all the time that the chain overseeing appeals everywhere. An and like the gulf fund mean Roman whatever. On that the stone have too much of control on them do they mean that seems to be like that donor or be where kind of thing rain. Absolutely nauert some of those organizations are really starting to on make sure that the that Lee is legitimate. But the truth is how annoying now if I give money to turn child who has you know I terminal element truly really know that perhaps that situation. Giving money to those types of things can be really wreaking. OK also a lot of people won and now on an owner of him advice on this one. When they do look around and they see so many appeals at this time a year because people they open their hearts of the holidays that's how they are there generous. How fine now. How much of their money actually goes. To the cause verses how much goes to the overhead are there ways to find out that are. Kind of simple for individuals to partake in. I believe. That the how arrest tracks both staying. But I am not 100 potential our. Do you know that when I personally and giving again nation I ask the charity event and giving my money Q and if they can't tell me. I'm not gonna give them my money. A lot of times will then receive calls at the house. From organizations. RA and it's just like is a shot a darker rack. A poker hope kind of thing where there saying yeah how well we are you know I'd disabled veterans organization and she's you know a lot of people here. Disabled veterans organizations they say okay. When you approach by phone. By an organization how often. Are they even from Pennsylvania or are they registered at what do you advise consumers about those kind of strange. And just kind of murky appeals the gap by phone. Chart and consumers is that if someone called mammoth found. My donation to an act spend that sent me the information in writing which an opportunity to things that's given me the opportunity. Let's get up the phone to check what they direct and to check of the department of speech and make sure that legitimate. Also it's gonna how did me the opportunity for them to send me the information so that I can act to make sure that this is an organization that I a my eight feelings so I left and I want to give them my money. Yeah because sometimes like I said it just it's like it might be local but it's so obtuse it's hard to tell so I think that that kind of advice. Is very very good is there anything else these should give advice about this time of year. Regarding out consumers approached by telephone from organizations. I'm so. My personal opinion and I tell people not to answer their phone and let that they know the person you're calling. There. And if you are answering phone even get to make sure that they can add information in writing. I'm so that I can verify the information that they provide. I'm. I I think that's really important. Anything else going on led during geared notation of fled this awareness week. Four. Consumers who live in the state of Pennsylvania anything to add before we let go. Well I would like to add that if you are considering. Any type of loan product to consumers should call. 880. 807222. Thick side famine. That is our consumer services hotline and now we can't certify when someone called so we use there's no manual option Gionta put one kind of searching for that she. And that person on the other and will be able to help back consumer to understand. It the company that they're working with the flight tend to. I'm an effect not right in and we can steer them in other direction. And if there isn't the issue and at the company that we like can we able to mediate on their backs up. OK and don't let customers take advantage of that in the states you have a lot of activity and have you been able to. Maybe stave off some terrible decisions by Pennsylvania consumers. Absolutely we attacked at between five and the traveling call to eat there it's a year that we worked for consumer. I'm proud our consumer can hurt her staff stayed very busy. And as far as. The computer called us to make sure that accompanies life even if they're not they can absolutely be steered away from doing business with that company. We could to get there. At night I can tell you hey this company down the street is light and you come to me and say is this company licensed I can tell you look they are or not. So I think what you're had not with your heart the spot it's easy and is trapped in the thick of the best waited to sum up is you not as. People just feel like they wanna be generous and sometimes it ends up costing them. A lot. Absolutely. I prefer anything that you're doing. Katrina Boyer joins us today she is consumer outreach liaison. From the Pennsylvania. Department of banking and securities and and time we have. Tips that people Katrina please feel free to stop back and let them know Europe too because I think this kind of thing can really prevent disaster. For people. Who just want to be generous but maybe don't understand what they're getting into. Actually thank you so much for having excuses is.