The high-cost, quick-fix deposit advance loans provided by some banking institutions is likely to be discontinued in 2014 after customer advocates dubbed the merchandise as financial obligation traps.
Both Fifth Third Bank and Wells Fargo, which had customers in Michigan, will put limits on new customers enrolling in deposit advance products as of Saturday.
Current clients will have much more time and energy to make use of such loans before the credit items are eliminated, but customers still must get ready for modification ahead.
A deposit advance is a small-dollar loan, usually for around $500 or less, which is marketed as one thing getting your money away from a jam. Continue reading