Maine is actually a State in the New England location which itself is towards the northeastern US, rimmed by the Atlantic Sea to the eastern and also southern directions, the lovely New Hampshire to its west, and also the Canadian provinces of expansive Quebec to its northwest. You also have New Brunswick to its northeast. Maine is actually both the northernmost and also easternmost part of New England. This State is well known for its rustic backdrop– it’s serrated, essentially rocky beaches, its majestic twisting hills, its profoundly forested inside as well as picturesque waterways– and also for its seafood food, especially lobsters and also clams.
The residents of Maine like other States do face times when they need short term funds to tide over a crisis. The importance of payday loans is not lost on them but the very high interest costs as well as arbitrary processing fees charged by the lenders are reasons why many hesitate to avail of them. They are aware of cases where individuals have got into a debt trap taking such loans in the past and how the interest amount keeps increasing rapidly upon failure to repay the initial amount.
It is keeping all this in mind that States like Maine have imposed a slew of measures to curb indiscriminate payday loan lending and have made it difficult for fly by night operators to offer such products. Let us look at the scenario in Maine when it comes to payday loan regulations and how citizens can make use of them.
Finding a payday loan provider in Maine can be fairly complicated because it is just one of the few States in the US that has tough and strict laws concerning this kind of an economic solution to cash flow problems. The payday loan companies that work in Maine are subject to certain limitations in the sum they can lend to their consumers. In Maine, short term loan providers are allowed to charge only $ 5 for loan amounts up to $75, only $15 for amounts up to $250 and just $25 for amounts in excess of $250.
Redeeming Post-dated Checks
Maine legislation does not permit the cashing in of the amount on any post dated checks given by consumers. This legislation has certainly had a dampening result on the payday cash loans businesses in Maine as many pay day advance loan companies do need that customers supply a post-dated check for a funds advance. This prohibition on not allowing post dated checks is an attempt to protect consumers from expensive transaction costs and also to prevent fraud payday loan companies from making duplicate profits.
Providing online protection
Online payday loan companies are a lot harder to moderate than physical shops as they have assorted and various techniques of conducting their operations. Instead of calling for a post-dated check, the customer often is compelled to ink an agreement letting the wage day loan company to make debits from the account at a foreseeable future time. It can be extremely tough for a government entity in order to manage these sorts of arrangements.