STATE OF MICHIGAN DEPARTMENT OF COMMERCE BANKING INSTITUTIONS BUREAU
IN RE: REQUEST BY OAK BROOK/CASH NOW PARTNERS d/b/a MONEY CONNECTION FOR A DECLARATORY RULING IN THE APPLICABILITY OF THIS REGULATORY LOAN ACT OF 1963, AS AMENDED, TO CERTAIN TRANSACTIONS.
Oak Brook/Cash Now Partners d/b/a Cash Connection (“Cash Connection”) is a small business that runs within the greater Detroit that is metropolitan area. Its main activity is cashing checks for a charge, along with other ancillary solutions include issuance of cash instructions, http://cashnetusaapplynow.com/payday-loans-la/sulphur giving and getting Western Union cash transfers, along with other relevant solutions. Cash Connection has required a ruling for solution that is a variation on its check cashing company.
In its check that is normal cashing money Connection will cash payroll, federal federal federal government, and private checks for a cost of 10% associated with number of the check. Money Connection has inquired about an expansion of its individual check cashing procedure to a site referred to as “Payday Advance.” The pay day loan transaction, as described by money Connection, varies from the check that is normal deal for the reason that there is an dental contract to put up a present-dated look for a time period of as much as 2 weeks. The check is held considering that the cabinet has inadequate funds in their account regarding the time the check is exchanged for money, but guarantees to own funds inside the or her account in the agreed upon date, the consumer’s next payday, that the check is going to be presented for re re payment. An additional 5% fee would be charged for this added service. The transaction that is typical be for $100.00, and could not surpass $500.00. Prior to making a pay day loan, each consumer will be needed to finish a jobs verification type, bank authorization type (consumer authorizes their bank to reveal bank checking account information), and a file card containing specific private information.