Army

September 7, 2012

Cash advance loans — worth the quick fix?

Legal Assistance Office

A Soldier is short on cash and needs money known as a “deferred presentment service” to obtain that “quick fix”. What people may not realize is that this “quick fix” comes at a high cost. Someone pays for the convenience of having money on hand when they don’t have any money in their bank account.

Cash advance stores take a check for the face value that the individual requests plus a processing fee. In return they agree to hold the check for a period of time, usually two weeks, before they cash it. This gives the check writer time to have money deposited into his or her account whether by paycheck or by some other means.

Check advancing may sound like a good idea. However, the price can sometimes be high. Arizona allows deferred presentment services to charge a fee of up to 15 percent of the check value, with the maximum check value of $500. For instance, those who want $500 will be charged a deferred presentment service of $75 as a processing fee for advancing the money. If the lender takes the processing fee out up front, the check casher will only get $425 for the $500 check, and the lender will recoup his $75 processing fee when the check is actually cashed.

Be aware there are higher costs with check advancing from deferred presentment services. Arizona law allows only one deferred presentment service contract at one time. This means that an individual cannot seek cash advances from a number of deferred presentment service stores at the same time to cover bills. Those who are strapped for cash should visit Army Community Service financial counselors to discuss other alternatives before signing a deferred payment service contract.

Those with legal questions should call the Legal Assistance Office, 533.2009.




All of this week's top headlines to your email every Friday.


 
 

 
U.S. Army IMCOM photo by Amanda S. Rodriguez

Civilian mentor program shapes Army installation management’s future

U.S. Army IMCOM photo by Amanda S. Rodriguez U.S. Army Installation Management Command mentors and mentees work on teambuilding skills, building a block tower in total silience, during the IMCOM Headquarters Centralized Mentori...
 
 
Interrogation-Station

Military Intelligence – Moment in MI history

U.S. Army Intelligence School opened in Langres, France July 25, 1918 Troops sift through the effects of captured Germans for items of intelligence value. “Late in July, 1918, about fifty officers gathered at the high-walled ...
 
 

ACAP has new name, now Soldier for Life – Transition Assistance Program

As part of the Soldier for Life Program that was introduced last year, the Army Career and Alumni Program, or ACAP, has changed names to the Soldier for Life – Transition Assistance Program, effective immediately. In an effort to better reflect the new direction of Army transition with the Soldier for Life Program, Army Chief...
 

 
Payload-Nero

Army test successful on UAV jammer payload NERO

Doug McDaniel, PM UAS View of the NERO jamming payload attached to a Gray Eagle. NERO stands for Networked Electronic Warfare Remotely Operated.
 
 
Untitled-1

Military Intelligence – Moment in MI history

Colonel Charles Young: Buffalo Soldier and Intelligence Officer Courtesy Photo As a major and then Lieutenant Colonel, Charles Young served with the 10th Cavalry during the Punitive Expedition into Mexico in 1916. This article ...
 
 
Soldier-Life-cycle

Soldier Life Cycle changes way Army preps troops for eventual transition

Maj. Rohan McLean, left, with Mission Command Battle Lab, and other class participants listen to tips from SCORE volunteer Ken Harris as he leads a session of the Army Career and Alumni Program entrepreneurial workshop, Boots t...
 




0 Comments


Be the first to comment!


Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>


Directory powered by Business Directory Plugin