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Attention Payday Loan Comment Spammers: Wrong Blog

by: Colorado Pols

Wed Sep 30, 2009 at 07:39:53 AM MDT

It seems like every morning we wake up to a fresh round of comment spam from the payday lending industry. We're tired of it, and we've decided to take a new approach.

The blog system we use is pretty good about filtering spam, primarily by requiring commenters to register with a valid email address. There are no automated methods of spamming our site that we're aware of, which means that the people posting these subtly-worded ads for payday loans are physically present and reading the discussions they're spamming.

Well, we have a message for you, payday loan spammers: in return for your unwanted solicitations, we're going to help put you out of business in Colorado.

The Colorado state legislature has tried several times in the last few years to curtail the payday lending industry, which charges exorbitant interest rates to hard-up customers for short term loans--loans that are usually rolled over for additional two-week periods, frequently leading to a cycle of crushing interest obligations and inescapable debt. Many payday loan customers end up paying hundreds of dollars more in interest than the amount they originally borrowed.

Recent bills intended to rein in the excesses of the payday lending industry failed each year after intense lobbying campaigns, abetted by certain legislators who acted out of the blue to gut or kill reforms without adequate explanation (see: intense lobbying campaign).

Unfortunately for the payday lenders, Jennifer Veiga resigned from the Colorado Senate this year. She won't be there to kill a payday lending bill in 2010, and the bill is definitely coming back.

We're not about advocacy here at Colorado Pols, but we've been supportive of payday lending reform as a common-sense consumer protection measure ever since the subject has been up for debate in Colorado. This is not some LiveJournal about kitties and teenage angst--this is the biggest political blog in the state of Colorado, safe to say payday lending spam is not reaching its intended audience here.

But thanks to their spam, we are going to make it our mission to help pass tough payday lending legislation in Colorado next year. We're going to talk about the bill every chance we get. We're going to link to all the studies showing what a cancerous scam payday lending is on the most economically vulnerable. We're going to do much more than simply delete comments and ban these spammers--we're going to make them pay dearly for spamming you.

Colorado Pols :: Attention Payday Loan Comment Spammers: Wrong Blog

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Attention Payday Loan Comment Spammers: Wrong Blog | 32 comments

I always wonder

Who owns these payday lender companies. I mean, the payday lending industry seems organized enough that there should be someone identifiable on the other end of this who is making money. I'm just always curious about those who make fistfuls of money preying on poor people. And the payday lender is basically legalized loansharking.

"At times one remains faithful to a cause only because its opponents do not cease to be insipid." - Nietzsche

by: twas brillig @ Wed Sep 30, 2009 at 13:51:53 PM UTC

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I love this diary

Something tells me we're going to see a noticeable drop-off in spam.

Cue payday loan sock puppets in 3... 2... 1...

by: redstateblues @ Wed Sep 30, 2009 at 14:13:30 PM UTC

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There do not appear to have been any last night.

Please let us know if you see one.

by: Colorado Pols @ Thu Oct 01, 2009 at 15:06:25 PM UTC

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Surprised me

Last time there was a diary about this, we had a sock puppet called 1commonsense trying to tell us how payday loans are greatest.

Maybe they got the message.

by: redstateblues @ Thu Oct 01, 2009 at 15:14:51 PM UTC

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It's the first of the month

maybe the spam puppets had to go renew their loans so were too busy to post.

A leader on the battlefield can be a leader in Congress. -- redstateblues

by: RedGreen @ Thu Oct 01, 2009 at 16:40:34 PM UTC

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Right fucking on.

I just ran into one of the payday spammers in Adam's diary and then saw this on the front page.

Way to go, Pols.

"I wouldn't characterize caloric intake as "professional development." c rork

by: Middle of the Road @ Wed Sep 30, 2009 at 14:16:50 PM UTC

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Never argue...

with a site that transmits bits by the barrel?

"There's a Romney Rule. The Romney Rule says, let's double down on the tax cuts for the wealthy." -- VP Joe Biden

by: Phoenix Rising @ Wed Sep 30, 2009 at 14:24:06 PM UTC

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Glad to see you've...

come on board on this issue!

That was always my biggest problem with Sen. Veiga...her protection of these scum was inconsistent with her other positions. They must have richly rewarded her...

"Corporations are people, my friend... of course they are." Willard M. Romney

by: Arvadonian @ Wed Sep 30, 2009 at 14:26:07 PM UTC

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legal usury

The credit industry drives bankruptcies with usurious rates. If individuals do it they call it racketeering.

judge elected officials by their actions, not by their rhetoric

by: Ray Springfield @ Wed Sep 30, 2009 at 14:49:16 PM UTC

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or loan-sharking, or extortion, or fraud, or...

n/t

bin Laden is dead
GM is alive

by: ajb @ Wed Sep 30, 2009 at 14:59:41 PM UTC

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Amen brother

This is a litmus test issue for every candidate and elected official.

Preying on the weakest in society, trapping them in the indentured servitude of permanent debt, is not something any politician should condone.

by: Danny the Red (hair) @ Wed Sep 30, 2009 at 15:03:40 PM UTC

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Agreed

What the hell happened with Veiga though? I remember this very well, most disheartening.

Yo quiero gobierno medio!

by: JeffcoBlue @ Wed Sep 30, 2009 at 15:12:16 PM UTC

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I'm no spammer, but...

sometimes a pay day loan may be the lesser of the evils facing a hard-pressed consumer. With banks charging $40 or more for an overdraft, a consumer running short has few options, none of them happy.

by: PoliceSquad @ Wed Sep 30, 2009 at 15:29:49 PM UTC

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NBD, then

The proposed law wouldn't outlaw payday loan firms, it would just regulate them to something vaguely resembling sane loan rates.

"There's a Romney Rule. The Romney Rule says, let's double down on the tax cuts for the wealthy." -- VP Joe Biden

by: Phoenix Rising @ Wed Sep 30, 2009 at 18:10:52 PM UTC

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Fired Up!

I moved out here from South Carolina this summer and if you'd like a case study in the tremendous influence exerted by these blood suckers over our elected representatives, look no further than the last session of South Carolina's legislature.

These guys actually made a bill that was good for them in that it protected their interests look like reform!

by: Snead @ Wed Sep 30, 2009 at 15:36:13 PM UTC

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I posted this in the Cheri Jahn diary, but its relevant here

http://www.leg.state.co.us/CLI...

Jahn voted with the payday lenders both on the floor and in committee on HB08-1310.

No Democrat that supports payday lenders should be returned to office.

She is running for Senate against a solid Democrat, Dave Ruchman (who lost to Sue Shafer by 29 votes in the house primary last year).

Payday lending is not a close call.

by: Doppleganger @ Wed Sep 30, 2009 at 15:40:12 PM UTC

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Hmmm.

Interesting piece of news on Jahn. I'm glad to know that. Thanks for that info.

"I wouldn't characterize caloric intake as "professional development." c rork

by: Middle of the Road @ Wed Sep 30, 2009 at 15:55:23 PM UTC

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Your links don't work.

I'm curious whether the Democrats who endorsed Jahn approve of her payday lendor positions.

A leader on the battlefield can be a leader in Congress. -- redstateblues

by: RedGreen @ Wed Sep 30, 2009 at 17:23:59 PM UTC

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I wonder if they are even aware of her position

and her votes on the subject.

"I wouldn't characterize caloric intake as "professional development." c rork

by: Middle of the Road @ Wed Sep 30, 2009 at 17:28:37 PM UTC

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my guess is...

the Speaker of the House who served during these bills (AR) is likely aware of how his Speaker Pro Tem (Jahn) voted on these issues...just a long shot though...

by: mtboneiii @ Wed Sep 30, 2009 at 19:13:02 PM UTC

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Ouch.

Very good point. Just to be fair, I attempted to offer up benefit of the doubt but I think you just nailed it.

"I wouldn't characterize caloric intake as "professional development." c rork

by: Middle of the Road @ Wed Sep 30, 2009 at 19:55:05 PM UTC

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sorry about that

http://www.leg.state.co.us/cli...

I don't know how to fix. But if you go to the legislature website and look up the 2008 session you can find the committee vote and the 3rd reading vote on the HB08-1310 Groff/Ferandino Payday lending reform bill.

by: Doppleganger @ Wed Sep 30, 2009 at 17:41:10 PM UTC

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OK..

So I have looked up legislative records on this as I am also very curious about this...

Seems that Cheri Jahn voted FOR 2 payday lending bills:

HB 07-1261 and HB 08-1126

She did vote no on HB 08-1310 but so did DEMS Debbie Benefield, Jeanne Labuda, Buffie MacFadyen, Wes McKinley, Joe Rice, Jim Reisberg, and Rafael Gallegos.

Could this mean that there might have been something with that bill that was a problem?? Seems like there must be more to this story if so many D's jumped ship...

by: mtboneiii @ Wed Sep 30, 2009 at 19:08:32 PM UTC

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Clarification

2 points just read all the bills

1.HB08-1310's sponsors Ferrandino, Pommer, Carroll T., Butcher, Solano, Kerr A., McGihon, Groff, Tapia, and Morse. Are you implying they missed something bad for consumers that Rep. Jahn caught?

2. HB07-1261 and HB08-1126 both dealt with a single issue. Whether payday lenders are required to tell people they can have a payment plan when they roll over a loan. Not much help, in fact it might have been supported by the industry to forestall real reform. I don't know, I don't follow the issue closely.

by: Danny the Red (hair) @ Wed Sep 30, 2009 at 20:29:59 PM UTC

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My thoughts...

In response to your 2 points:

1) I am not sure about what in the bill was the reason for the vote, but I also read them and see that the limits and percentages the bill would have imposed seem pretty arbitrary. I suppose it is all about balance. It's sad but true that payday lenders are sometimes the only resort for some people. I can only guess that Rep. Jahn and the other D's who voted no did so because they thought the bill went too far. I am an advocate for reigning in payday and other lenders' bad habits but I don't want them to completely go out of business either...

2) I think the main way you help consumers in a free society is to give them as much open and honest info as possible and let them choose from there. In my opinion, bills to open up the process and require notification to consumers on an array of lending practices is a BIG help to many!

by: mtboneiii @ Wed Sep 30, 2009 at 21:33:15 PM UTC

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As to "arbitrariness." The law is full of them, fines, the minimum wage, Workers comp payments, mandatory jail sentences, statutes of limitations, caps on damages. Do you oppose these things as well?

Do you know who payday lenders pray on?

They are the most vulnerable people in society, we shouldn't allow people to "freely" enslave themselves.

by: Danny the Red (hair) @ Wed Sep 30, 2009 at 21:41:04 PM UTC

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I suppose...

I would just hope that these arbitrary numbers have a little research behind them. And yes, I do think some of our mandatory jail sentencing laws are asinine as is the way we often calculate how/when/how much to rise minimum wage.

I do know that Payday lenders are definitely in it for the profit and many people have suffered because of bad loans. I suppose I see it like I see the mortgage crisis--yes, the banks share a lot of the blame and should be more regulated (as should payday lenders) but the consumer needs to take responsibility for some of the blame as well.

by: mtboneiii @ Wed Sep 30, 2009 at 22:03:01 PM UTC

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Time to right a wrong

In April 2009, Harper's Magazine had a story about payday lending:
Usury country: welcome to the birthplace of payday lending.

Just because this option might be "better than nothing" for some, doesn't mean that it's good for anything but transferring money from poor to rich.

"Ignorance more frequently begets confidence than does knowledge." --ChuckieD, 1871

by: ardy39 @ Wed Sep 30, 2009 at 15:55:37 PM UTC

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"Transferring money from poor to rich"

That explains it . . . we like gambling and slot machines in Colorado, too.

by: The realist @ Wed Sep 30, 2009 at 16:24:35 PM UTC

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Kudos

These morons need a dose of digital vigilantism.

by: Leonard Smalls @ Wed Sep 30, 2009 at 18:33:49 PM UTC

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Damn! Ok, I'll stop sending the informative email messages.

..y'all don't have to lose your shit and get crazy. I'll stop.

I'm not as sweet as I used to be.

by: Jambalaya @ Thu Oct 01, 2009 at 00:53:37 AM UTC

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Who can say what's right nowadays

Spamming is something nasty, that's for sure. I've seen good websites that were ruined by links to ugg boots and all sort of funky things. I don't know who thought about doing this thing, but I can say for sure that I've also encountered some serious search engine optimization services New York has to provide, that do a good job in this industry.

by: Cheyanne Edith @ Tue May 17, 2011 at 18:53:07 PM UTC

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Attention Payday Loan Comment Spammers: Wrong Blog | 32 comments