Arresting individuals — or threatening to do this — over unpaid debts is illegal in Texas for many years now. Yet, which includesn’t stopped payday loan providers from utilising the justice that is criminal to pursue a lot more than 1,500 borrowers within the state.
Payday loan providers are regularly looking at the courts looking for charges that are criminal borrowers do not have the funds to settle their loans on time, a written report from Texas Appleseed discovered. Such costs often leads to arrest if not prison time in the event that courts choose pursue an incident.
“as well as their crazy prices and financing practices, cash advance companies are illegally utilising the criminal justice system to coerce repayment from borrowers,” stated Ann Baddour, manager associated with Fair Financial Services Project at Texas Appleseed. Continue reading