Skip to comments.Has anyone else seen the 866-SKY-1224 commercial?
Posted on 08/14/2012 3:05:09 AM PDT by GeorgiaDawg32
It runs several times a day and I finally paid attention to the "fine print".
Interest rate on a 10k loan is 89.66%, payments $743.99 for 84 months.
Now, I'm not against a private business lending money at an interest rate, but doesn't 89.66% seem a little high?
It’s not high enough if no one pays back - obviously those loans are priced for very poor credit borrowers that no one else will lend to.
They are loan sharks.
That’s what we call good, old-fashioned usury.
As well as being loan sharks which I advise staying as far away as you can it’s a really creepy commercial. Loan sharks are predators
By the way I just learned of a 62 year old widow who lost her job and tried to get a loan from a lender she found on the Internet to meet unexpected expenses. Some one phoned her and got her bank account number and other information and drained her bank account of the few thousand dollars of savings she had.
They’re indians. They scalp people. It’s what they do.
But wait, it gets worse than just the suicidal interest rate:
“All loans will be subject solely to the exclusive laws and jurisdiction of the Cheyenne River Sioux Tribe, Cheyenne River Indian Reservation. All borrowers must consent to be bound to the jurisdiction of the Cheyenne River Sioux Tribal Court, and further agree that no other state or federal law or regulation shall apply to this Loan Agreement, its enforcement or interpretation. The loan agreement contains an agreement to arbitrate all disputes in which borrowers agree to waive their right to a jury trial, to have a court decide any dispute, and to participate in a class action lawsuit, and to certain discovery and other procedures that are available in a lawsuit. ... in the event you opt out of arbitration, any disputes hereunder shall nonetheless be governed under the laws of the Cheyenne River Sioux Tribal Nation.”
Precisely. They are not bound by the laws of any state or the US Gov. because they are operating on their tribal lands and following their tribal laws.
But the gal IS a cutie...
Holy crap. It’s indentured servitude.
I was under the impression that loan sharking was against the law, and that there were federal statutes governing - and severely penalizing - usury.
How is it that this business is allowed to exist?
I listen to to much talk radio but I heard of a city in CA that borrowed 100 million to fix up their schools. Since they did not want to raise taxes to pay the note off some brainiach thought of 40 year bonds with the first payment 20 years from the date they bought it..
Can you see where this is going?
That 100 million is going to cost the city 1 BILLION.
I wonder if they borrowed the money from the same company.
I have seen some of the ads for these loan sharks. “our loans are expensive” ya.. That is a understatement.
It’s an Indian group on a reservation. State/federal laws don’t reach that far.
Their rates are on par with most payday loan companies. However, their maximum amount is much higher.
It’s outrageous interest.
The simple answer is, don’t borrow money from them.
Strange - and even bizarre - that the federal government allows these guys to do this sort of thing and yet won’t allow them to sell cigarettes.
The feds won't let them cannibalize an existing revenue stream (source of graft). It's ok for them to go out and make a new one of their own.
That’s cool. Explain why they get to vote in U.S. elections, though., among other things.
I notice you dont recommend any alternatives, the reader sent. I e-mailed a reply directly, but it bares repeating to the full audience. If a writer was scribbling about what a bad idea suicide is if that authors intent was to point out that suicide is bad, that it ends discussions of future alternatives, that it affects more than just the victim, and that one needs to carefully consider ones place in the universe before committing the act thats enough. I dont think theres an implicit obligation for that writer to explore whether its better to use a rope over a gun or pills over a razor. Same kind of discussion here. Just because I intend to demonstrate just how expensive Western Skys loans are doesnt mean I owe you fifty other ways to commit financial suicide. Critically speaking, an alternative for those hard up for cash and considering a loan through Western Sky or any other online sub-prime unsecured lender might be sticking up a gas station or bank, but I wouldnt recommend it.
Yeah she is, only reason why I, and most guys, watch the commercial. I really don’t have a problem with what they’re doing. They tell you it’s expensive upfront and the fine print has the gory details. If you’re in a temprorary situation and need a quick fix they might be worth considering.
Yeah but....don’t you get a free gift of a set of Ginsu knives with every loan?
We did purchase Manhattan from the Indidans for next to nothing so I guess they’re just trying to get even,
“Rcvd. 7 November 1626
High and Mighty Lords,
Yesterday the ship the Arms of Amsterdam arrived here. It sailed from New Netherland out of the River Mauritius on the 23d of September. They report that our people are in good spirit and live in peace. The women also have borne some children there. They have purchased the Island Manhattes from the Indians for the value of 60 guilders. It is 11,000 morgens in size [about 22,000 acres]. They had all their grain sowed by the middle of May, and reaped by the middle of August They sent samples of these summer grains: wheat, rye, barley, oats, buckwheat, canary seed, beans and flax. The cargo of the aforesaid ship is:
7246 Beaver skins
178½ Otter skins
675 Otter skins
48 Mink skins
36 Lynx skins
34 Muskrat skins
Many oak timbers and nut wood. Herewith, High and Mighty Lords, be commended to the mercy of the Almighty,
In Amsterdam, the 5th of November anno 1626.”
Your High and Mightinesses obedient, P. Schaghen
She may be cute, but her brothers are big hairy guys in leather jackets with no sense of humor.
I was going to say...that seems low compared to some of the predatory lenders I’ve seen on late-night TV.
They’re not considered “white’.
They can sell them. I don’t think they are allowed to ship them. State taxes and what not.
It seems to me that if Indians want to engage in modern commerce, like loans, gas stations, casinos, they need to do so under modern America laws. If they want to stay where they are are worship the sun, fine. But they shouldn’t be receiving these special privileges.
Explain why they get to vote in U.S. elections, though., among other things.
They support the right people... They also get government welfare.
>> Interest rate on a 10k loan is 89.66%, payments $743.99 for 84 months.
Not sure that your math is correct. $743.99/month for 7 years on a 10k loan is only 29.925%. At 89.66%, the monthly payment would be something like $10508.
Actually not. A number of years ago lobbyists from major banks succeeded in amending the federal banking laws to allow them to conduct interstate business under terms that would violate state anti-usury laws. That's why credit cards are issued from places like South Dakota or Delaware since those states don't have strict anti-usury laws.
The net result is mainstream credit card companies charging rates that would have been illegal forty years ago. It is ironic that banks today insist that there would be no credit available to anyone if they couldn't charge such high rates, but they were successful for many years under the state anti-usury laws.
We can thank the federal government for legalizing loan sharking.
Rent-to-own arrangements charge over 300% interest.
Predators on the ignorant.
The American Indian gets back at the white man!
(Their spokeslady is HOTT!)
Tribal law supersedes even federal law.
I had a friend that adopted a Native American child. The adoption was completed in NY state court and they had full custody etc....
4 years later an "uncle" shows up and demanded custody. He took it to tribal court and the child was taken from my friend.
No appeal because he did not have standing with the court since he was not a native American.
You’re asking me to explain policies of the Bureau of Indian Affairs and other US governments? You mean, laws are supposed to be rational?
Being stupid is not against the law so why should usurious interest rates be?
Which begs the question; if interest rate is a reflection of risk then how bad does your credit have to be not to qualify for a loan charging 342.86% interest?
If you are getting screwed by the government... thank a lobbyist and a weak minded, vain power hungry politician.
Hey congresscritter old buddy old pal, you’re the greatest, let’s do dinner. How about we fix you up on a date with this hot babe and make a “donation” to your campaign fund. We just love you and think you are just a Great American. Why, you are such a brilliant strategist and have such vast business experience from all your years of kissing babies and screwing people you’d fit right into our organization. We’ll pay you a million a year to help us with our public relations or something like that.
We need a tariff on cane sugar to protect the American Farmer (flags wave, patriotic music plays and red white and blue rockets go off). Do you think you could help out with that on your committee to help out the American Farmer? Heck no, there’s nothing in this at all for us, we just make corn syrup.
Why heck no, this high fructose corn syrup is just as healthy as cane sugar. It’s all bad for you really isn’t it? No, we just want to protect the American Farm Family. This corn syrup is Made in America from American Corn, nothing finer. Same stuff as cane sugar, just different by one or two molecules.
And so it goes every single day somewhere in this corrupt nation that once was a Republic and is now nothing more than a rabble.
Post of the day.
Got a prison record ... we don’t care.
Don’t have a job ... we don’t care.
Dont expect to pay us ... THAT’S when we care
Just ran the numbers in Excel - pmt(0.29925/12,84,-10000) = pmt of $285.43. pmt(0.8966/12,84,-10000) = pmt of $748.93. To get to a monthly payment of $10508, you have to have a rate of 1,260%. A flat 100% rate on $10,000 gets you a payment of $834.34 over 7 years.
They do one with a guy too and I imagine the ladies would not mind watching him. I always enjoy watching the babe. She has what James Taylor might have called a “pretty little pout” in her delivery. She’s definitely the right choice for that commercial.
Shark money has its place. The payday loan is not that place. I used shark money to help finance acquisition and rehab of a rental property. I now have decent equity and a good cash flow. (Real estate shark money is much cheaper than Cheyenne River Sioux money. My “APR” turned out to be about 21 percent.)
Wow...I couldn’t believe my eyes when I saw that Commercial.
Thank you for the validation that I am NOT seeing things that aren’t there! :-)
BTW, my tribe does not engage in that sort of thing. However, we have been criticized by Dr. Savage for hunting whales.
It’s funded by an Indian consortium run off an Indian Reservation.
US laws need not apply.
It’s 150 years past the Indian wars. Do we really need to maintain Indian reservations and still have the Bureau of Indian Affairs?
I see. Thank you. It’s a bit shocking, actually, isn’t it.
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