In the Battle Over Florida’s Racially-Charged Cash Advance Racket
When Jon Gomez required some fast money to fix a cooling fan in his 2007 Toyota, the 38-year-old distribution driver relied on a well known economic solution made available from Amscot—The Money Superstore. The Cuban-American stated he took down a $400 cash advance at certainly one of their places in Hialeah, Florida, where he lives.
All Gomez had to do was prove employment and write out a personal check from a valid bank account post-dated by 14 days, at which time he was set to receive his next paycheck to get the four Benjamins. He decided to pay off the amount that is full and also a $41 finance fee, Gomez recalls.
“we repaid the $441, nevertheless the following day, we took down another $400 cash advance he told VICE because I needed the money. “I happened to be in this cycle that is vicious 3 months.”
It surely got to a point that the guy did not have money that is enough protect one of is own cash advance checks, and it also bounced. Under Florida legislation, Gomez cannot get another payday loan until he settles the outstanding one. “That turned into a blessing in disguise,” he recalls. “we will not place myself with debt like this once more.”