Welcome Guest Search | Active Topics | Members | Log In | Register

Western Sky Financial. 135% APR on loans. Taking advantage? Options · View
lafayettemister
Posted: Wednesday, January 18, 2012 7:14:06 AM

Rank: Forum Guru

Joined: 10/4/2010
Posts: 6,447
Location: Alabama, United States
Last night I saw a commercial that I'd seen several times but never really paid much attention. Last night I did, I read the fine print. Holy crap. I checked out their website this morning, and this is what I found. They will loan up to $2600 to anyone with a checking account. At a whopping 139.24% APR. Their ad does say that borrowing the money is "expensive" but when you gotta have it right away, they can help. So...

Loan amount: $2600

APR: 138.24%

Term: 36 months

Monthly payment: $298.94

Total amount paid: $10,761.84

Wow!!! Talk about a tax on the poor. Because only the poor and desperate are going to do this. I happen to think it's wrong and should be illegal. However, since this "company" is owned and operated on an American Indian Reservation, they must be exempt from the same regulations as the rest of the country. Their disclaimer reads as follows:

Western Sky Financial, LLC, is a Native American-owned business operating within the boundaries of the Cheyenne River Sioux Reservation, a sovereign nation located within the United States of America.

The first page of the website says they loan up to $5000. But in the terms of use section it says they make personal loans up to $2600. I haven't done the math, but $5000 at 139% must total over $20k easily. I realize that the Native Americans of my great country had their land taken from them. But maybe allowing them to totally fleece people shouldn't be allowed in their amnesty type exemption from the laws of the land.

Here is the link to the website: Western Sky Financial

Here is the television commercial:







When the debate is lost, slander becomes the tool of the loser. Socrates
Dirty_D
Posted: Thursday, January 19, 2012 1:19:45 PM

Rank: Head Nurse
Moderator

Joined: 4/15/2011
Posts: 7,487
Location: Soaking up the sun, United States
i just got a new loan. Im not thrilled with the rate, but I knew that was the price i had to pay for some stupid mistakes in my past. at least im not paing that much. its sad that people will use this because it is possible to get loans even with bad credit. u just have look. & work a little. but the same thing will give u better credit.
Buz
Posted: Friday, January 20, 2012 12:25:31 PM

Rank: The Linebacker
Moderator

Joined: 3/2/2011
Posts: 7,543
Location: Atlanta, United States
Obviously they are getting even with everyone for stealing their land. This could be a grand scheme by the Native Americans to take their land back in collateral. Do you blame them?

Yes they do get certain breaks. That is why so many American Indian tribes can own casinos in states where other gambling is illegal.

I am part Cherokee. I do not know if it is enough to qualify. But I am not sure. I should check that out. It might be fun to run a casino and be a loan shark. At least lucrative.





Shibui
Posted: Wednesday, January 25, 2012 1:50:00 PM

Rank: Forum Guru

Joined: 12/22/2010
Posts: 109
Location: Nesteled in your arms, United States
Nutbag TOTALLY Nutbag
easy_rider75
Posted: Wednesday, January 25, 2012 9:14:07 PM

Rank: Forum Guru

Joined: 1/29/2011
Posts: 437
Location: Playing with knives , United States
Geez that kind of interest rate may be cheaper to go to the mob least all they do is brake your legs lol

Seriously I saw one of those commercials one night didn't catch who it was but the slogan was you need money now call us not cheap VERY high interest rates they said just nuts

“I'm not one of those complicated, mixed-up cats. I'm not looking for the secret to life.... I just go on from day to day, taking what comes.”~Frank Sinatra~
loud_bkr
Posted: Monday, January 30, 2012 8:53:41 AM

Rank: Forum Guru

Joined: 2/24/2011
Posts: 5,724
Location: Fuct if I know
That's cheap!!!!!!!
Over here in the UK there are a few with extortionate percentages.


Copied for the website:

Representative 1734% APR.
Representative example: Borrow £50 for 30 days. The total charge for credit is £14.75. Interest is fixed at a rate of £14.75 per £50 loan (359% per annum). The Total Repayable is £64.75.

http://www.quickquid.co.uk/quickquid-tv.html

Highway Robbery!

standingbear
Posted: Monday, January 30, 2012 1:34:32 PM

Rank: Forum Guru

Joined: 9/27/2010
Posts: 195
Location: the twilight zone
Although Western Sky Financial is owned by a member of the Cheyenne River Sioux, Marvin Webb, it is not owned by any of the Lakota bands that make up the Cheyenne River Reservation. Marvin Webb is an individual, and not representative of any of the bands. He claims that he doesn't have to follow non-tribal lending laws as a member of the Cheyenne River Sioux Tribe, a claim that has been disputed in various state courts. The Lakota people as a whole are not profiting from Mr. Webbs business, it is a private business and not operated as an arm of the Cheyenne River Tribe. The company is a native American business only in the sense that it is owned by a native American.

Marvin Webb and his company are exploiting desperate people by charging them outrageous amounts of interest and fees. Interest rates vary from state to state, but in Georgia, as an example, and because that's where I live, if a person borrows $1500 there is a $500 fee, which means that the person only gets $1000 cash.
The APR on a $1500 loan is 234.25%. There are twenty four payments of $198.19, which means a payback of $4756.56 for what is actually a $1000 loan. To borrow the maximum $5000 the repayment amount is $40872.72.

"Happiness is doing it rotten your own way."Isaac Asimov (1994)
Users browsing this topic
Guest 


Forum Jump
You cannot post new topics in this forum.
You cannot reply to topics in this forum.
You cannot delete your posts in this forum.
You cannot edit your posts in this forum.
You cannot create polls in this forum.
You cannot vote in polls in this forum.

Main Forum RSS : RSS

Powered by Yet Another Forum.net version 1.9.1.6 (NET v4.0) - 11/14/2007
Copyright © 2003-2006 Yet Another Forum.net. All rights reserved.