No wonder how scott tucker can afford to race in all those series (cbs news story)
#1
Race Director
Thread Starter
No wonder how scott tucker can afford to race in all those series (cbs news story)
http://www.cbsnews.com/stories/2011/...ctionContent.1
check out the video WOW simply amazing the loopholes some of these people find to make $$
Saw the blonde haired bodyguard lady at Road America running around doing all his errands as seen in the video
check out the video WOW simply amazing the loopholes some of these people find to make $$
Saw the blonde haired bodyguard lady at Road America running around doing all his errands as seen in the video
September 26, 2011 7:16 PM
How "payday" lenders pull off crippling rates
By
Armen Keteyian
Play CBS News Video
(CBS News)
OVERLAND PARK, Kan. - For Americans struggling in this economy, an advance on a paycheck can be a lifeline. These advances - also known as payday loans - have become a fast-growing business online, with nearly $11 billion lent out last year.
The money often comes with crippling interest rates, as CBS News chief investigative correspondent Armen Keteyian found for this report in partnership with the Center for Public Integrity.
Center for Public Integrity's report
Ramon Zayas was suffering from prostate cancer and facing mounting bills.
"I had to pay the electric bill, or have the lights turned off," Zayas said.
So he and his wife got a $250 payday loan from an online lender 500 FASTCASH. It charged an annual interest rate of 476 percent. Zayas thought he was paying off the loan, but confusing fees, and the high interest eventually pushed the cost to $125 a month - on a $250 loan. Like a lot of people, he couldn't keep up with the soaring costs.
"I borrowed $250, I thought I was going to pay $325," Zayas said. "I actually paid $700, but it would have been $1,100 had I not gone to the bank and put a stop to this."
Because of cases like this, 17 states have effectively banned payday lending. But Ramon Zayas' lender is shielded from state laws because 500 FastCash is owned by an Indian tribe. Today, an estimated 30 online payday lenders partner with American Indian tribes.
"If you can become affiliated with a tribe, and be able to avert local and state laws, in my opinion, apparently loan sharking is legal in this country," said Rick Brinkley.
Brinkley runs the Better Business Bureau in Eastern Oklahoma. He's recieved 2,000 complaints and says it's unclear who is behind some of these operations.
"The letters coming back from the payday loan companies don't even have signatures on them," Keteyian asked.
"They just say 'compliance office,'" Brinkley replied.
"What does that tell you?"
"It tells us that they don't want us to know who they are."
Learn about payday lenders in your state
CBS News wanted to find out who profits from these companies. So we went to the address for three online payday lenders owned by the Miami Nation of Oklahoma.
Turns out, this tribe's payday lending operation is run by a company called AMG Services which we found in Overland Park, Kan.
But employees here wouldn't even say who owns the company. "I'm not at liberty to divulge that information," the employee said.
The CBS News/Center for Public Integrity investigation found that the Colorado and West Virginia attorneys general have pursued these lending operations. In court papers they claim Scott Alan Tucker is a key player. Tucker spent a year in federal prison in 1991 for fraudulent business loans.
Today, the 49-old-year-old Tucker enjoys a high-octane lifestyle. He races a fleet of expensive cars, and flies on a $14 million corporate jet. An $8 million home in Aspen is listed in his wife's name and the property taxes, we discovered, were paid by AMG Services.
Tucker declined our requests for an interview but we caught up with him at a race in California. He didn't answer our question about his connection to AMG Services.
Statement from Scott Tucker
Letter from Chief Tom Gamble of the Miami Tribe
After that, the Miami Tribe sent us a letter saying Tucker is "an employee" of AMG Services and bound by a contract not to discuss tribal business. The tribe said in a statement that it follows Federal and Tribal law, and that all complaints are handled "appropriately and without any harassment."
Meanwhile, Ramon Zayas and his wife had to close their bank account and say they continued to be harrassed for months.
"They can do whatever they want to poor people like me," Zayas said.
While lenders can dodge state laws they are not immune from federal law. Just two weeks ago the Federal Trade Commission took the first legal action against an online payday lender tied to a different Indian tribe.
How "payday" lenders pull off crippling rates
By
Armen Keteyian
Play CBS News Video
(CBS News)
OVERLAND PARK, Kan. - For Americans struggling in this economy, an advance on a paycheck can be a lifeline. These advances - also known as payday loans - have become a fast-growing business online, with nearly $11 billion lent out last year.
The money often comes with crippling interest rates, as CBS News chief investigative correspondent Armen Keteyian found for this report in partnership with the Center for Public Integrity.
Center for Public Integrity's report
Ramon Zayas was suffering from prostate cancer and facing mounting bills.
"I had to pay the electric bill, or have the lights turned off," Zayas said.
So he and his wife got a $250 payday loan from an online lender 500 FASTCASH. It charged an annual interest rate of 476 percent. Zayas thought he was paying off the loan, but confusing fees, and the high interest eventually pushed the cost to $125 a month - on a $250 loan. Like a lot of people, he couldn't keep up with the soaring costs.
"I borrowed $250, I thought I was going to pay $325," Zayas said. "I actually paid $700, but it would have been $1,100 had I not gone to the bank and put a stop to this."
Because of cases like this, 17 states have effectively banned payday lending. But Ramon Zayas' lender is shielded from state laws because 500 FastCash is owned by an Indian tribe. Today, an estimated 30 online payday lenders partner with American Indian tribes.
"If you can become affiliated with a tribe, and be able to avert local and state laws, in my opinion, apparently loan sharking is legal in this country," said Rick Brinkley.
Brinkley runs the Better Business Bureau in Eastern Oklahoma. He's recieved 2,000 complaints and says it's unclear who is behind some of these operations.
"The letters coming back from the payday loan companies don't even have signatures on them," Keteyian asked.
"They just say 'compliance office,'" Brinkley replied.
"What does that tell you?"
"It tells us that they don't want us to know who they are."
Learn about payday lenders in your state
CBS News wanted to find out who profits from these companies. So we went to the address for three online payday lenders owned by the Miami Nation of Oklahoma.
Turns out, this tribe's payday lending operation is run by a company called AMG Services which we found in Overland Park, Kan.
But employees here wouldn't even say who owns the company. "I'm not at liberty to divulge that information," the employee said.
The CBS News/Center for Public Integrity investigation found that the Colorado and West Virginia attorneys general have pursued these lending operations. In court papers they claim Scott Alan Tucker is a key player. Tucker spent a year in federal prison in 1991 for fraudulent business loans.
Today, the 49-old-year-old Tucker enjoys a high-octane lifestyle. He races a fleet of expensive cars, and flies on a $14 million corporate jet. An $8 million home in Aspen is listed in his wife's name and the property taxes, we discovered, were paid by AMG Services.
Tucker declined our requests for an interview but we caught up with him at a race in California. He didn't answer our question about his connection to AMG Services.
Statement from Scott Tucker
Letter from Chief Tom Gamble of the Miami Tribe
After that, the Miami Tribe sent us a letter saying Tucker is "an employee" of AMG Services and bound by a contract not to discuss tribal business. The tribe said in a statement that it follows Federal and Tribal law, and that all complaints are handled "appropriately and without any harassment."
Meanwhile, Ramon Zayas and his wife had to close their bank account and say they continued to be harrassed for months.
"They can do whatever they want to poor people like me," Zayas said.
While lenders can dodge state laws they are not immune from federal law. Just two weeks ago the Federal Trade Commission took the first legal action against an online payday lender tied to a different Indian tribe.
Last edited by dvandentop; 09-26-2011 at 09:12 PM.
#3
Le Mans Master
Who needs a loan? I've got $250 to lend....
#5
Safety Car
Eh... free market IMO. Most of the people using these services do so because they have horrible credit and can't qualify for a normal credit card or loan via a normal channel. If you don't like the terms then don't take the loan. Nobody is forcing you to take it.
Unfortunately it ends up screwing the desperate and stupid who don't understand what they're getting into or don't care to read up on it.
Now 400+% is pretty crazy... around here the Payday loan places charge really high interest, but I think it's in the 30s tops... not 400!
Unfortunately it ends up screwing the desperate and stupid who don't understand what they're getting into or don't care to read up on it.
Now 400+% is pretty crazy... around here the Payday loan places charge really high interest, but I think it's in the 30s tops... not 400!
#6
Melting Slicks
If the Government doesn't like it, they ought to go into the loan business themselves and show them how it ought to be done, lending money to deadbeats at zero or near zero interest rates with the high likelihood that they will ultimately default with no repercussions
#7
Supporting Vendor
And while I don't pity a fool - I do think they need some basic protection from the very talented non-fools who choose to take advantage of them rather than 'do good' and make $$.
-It's easy being greasy....they are REALLY good at it and are hard to catch.
-Our world is busy -it would be nice if we didn't have to run around completely distrusting everyone.
That **** doesn't pass the mom test.
#11
Race Director
I think the point here is to be a successful pro racer you need LOTS of money.
There are very very few opportunities to actually profit from racing, but lots of us willing to spend a little or a lot to participate.
There are very very few opportunities to actually profit from racing, but lots of us willing to spend a little or a lot to participate.
#12
Racer
#14
Melting Slicks
Member Since: Sep 2006
Location: Beaverton OR
Posts: 2,034
Likes: 0
Received 0 Likes
on
0 Posts
Let's do our best to keep the politicians out of the private sector. They F--k it up everytime they do.
#15
Melting Slicks
#16
Le Mans Master
Since 91 he has learned what it takes to stay out of Federal Prison (probably from fellow inmates) and still make money out of a slimy business. Title pawn is another one that really sucks them in.
#18
Melting Slicks
Member Since: Sep 2003
Location: If you don't weigh in you don't wrestle Road America
Posts: 3,031
Likes: 0
Received 73 Likes
on
54 Posts
You know I always kinda wondered what he got out of beating up on amateurs with the pro budget his team has.
I don't wonder anymore.
Beat up on the little guy at work and at play.
I don't wonder anymore.
Beat up on the little guy at work and at play.
#20
Le Mans Master