CAB Consulting – Mid-Year Review and Going Beyond Licensing and Compliance
CAB Consulting – Mid-Year Review and Going Beyond Licensing and Compliance
Hello and thank you for visiting www.CreditAccessBusiness.com!
We are now in the back half of 2012 and it has been a great year so far. January 1st marked the beginning of a new age in the Texas payday and auto title loan business and I want to thank each of for the trust you have placed in CAB Consulting. CreditAccessBusiness.com has become a highly visited site and our traffic continues to grow. CAB Consulting is pleased to be the resource for all things CAB in the State of Texas and we look forward to keeping valuable content on the site.
CAB Consulting is inviting site visitors, clients, and persons with industry experience to participate in our “Client Survey.” The survey’s intent is to assess current needs, gather perspective on the industry from operators, and get a report card from you on CAB Consulting so far.
The information you provide will be used as we all move forward and set our sights on continued growth and success. New programs are being developed that will be offered up for consideration soon, and part of the purpose of the survey is to get a sense of whether the new programs have the right priorities. Information shared will be kept private, not be made public, and will be handled with highest professional regard.
As always, feel free to contact Michael Brown of CAB Consulting at 214-293-8676 or via email at Michael@CreditAccessBusiness.com.
Contact Us
Contact Us
C.A.B. Consulting and Brokerage
Michael Brown
3636 South Alameda, Suite B-149
Corpus Christi, Texas 78411
Email: Michael@CreditAccessBusiness.com
Phone: 214-293-8676
Fax: 512-366-7247
CFPB’s 16th Monthly Complaint Report released on October 25, 2016.
CFPB’s 16th Monthly Complaint Report released on October 25, 2016.
I always look forward to the new CFPB complaint reports that come out each month around the 25th. Why? Well as you will see if you follow them as well, the “Payday Loan” industry (this is the umbrella term used in these reports to refer to companies who offer payday loans, installment loans, title loans, cash advances, etc) has yet another double digit decrease in complaint volume versus the same 3-month period (July-August-September) last year. This month showed a 21% decrease.
It is unfortunate that there were complaints, and I can tell you that our clients would be extremely concerned in the event any complaint was filed by their customer. They would respond promptly and work to communicate with the customer to clarify any misunderstandings and work out a resolution. Zero complaints – that is the goal.
As is the case with the other monthly reports – we are always the industry with the largest decrease. There are 10 other industry categories and we are the only one with these giant drops in customer complaints, consistently. Student loans are #1 and our bank friends are at #2 with a 37% increase.
I am aware that consumer advocates and others who are not so friendly to the industry visit this website. I am wondering if they also view the CFPB complaints each month. The story being told here is that consumers complain less about our services than any CFPB category. I would recommend you shift your focus to the biggest offenders if you are currently hyper-focused on shutting down the “payday loan” industry.
After all the work you have done to work up complaints you have only mustered a double digit decrease in complaint volume, you may be able to do better somewhere else. I think the banks are where you should go – they target our customers with abusive overdraft charges and NSF fees with astronomical effective APR’s (think 1,600.00%), and bring in about 4 times the amount of annual revenue that our industry does.
Here is the link to this month’s report (see page 4):
CFPB October 2016 Monthly Complaint Report
This blog post was written by Michael Brown, President of CAB Consulting and the Texas Organization of Financial Service Centers. He can be reached at 214-293-8676, or Michael@CreditAccessBusiness.com.
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Previous post: Everything is bigger in Texas!
Next post: Fun with the filing of liens on Motor Vehicles in Texas.
Fun with the filing of liens on Motor Vehicles in Texas.
Fun with the filing of liens on Motor Vehicles in Texas.
Dealing with Texas DMV office who refuse to allow Credit Access Businesses to add a lien to a vehicle (for a Title Loan) when the registered owner of the vehicle has outstanding warrants, tickets, toll fees and or recent child support payments on file as delinquent can be a problem. We have seen this in a few counties recently – it appears to be referred to as a “Scoff Law”.
The only fix we have seen that works is to simply process the lien in a different county. There are 254 counties in Texas, and each tend to do their own thing!
Another instance that has come up with some title loan borrowers is when one consumer who has a title loan with a CAB sells their motor vehicle to another consumer without the buyer getting the title. The buyer in these cases can either be tricked into doing this or may just be careless / unaware.
For the CAB in this case, because they actually have the title and the lien, they “own” the vehicle and would be forced to repossess if the seller stops paying on the loan (this would be what triggers awareness of any issue other than if the buyer comes back later and asks for the title).
If you find yourself in this predicament as a buyer or a CAB, follow the law and rely on other professionals to consult you on the best course of action. For CABs (as always) follow the proper disposition methods in compliance with Texas Business and Commerce Code Chapter 9.
This blog post was written by Michael Brown, President of CAB Consulting and the Texas Organization of Financial Service Centers. He can be reached at 214-293-8676, or Michael@CreditAccessBusiness.com.
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