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TROPICAL STORM WARNING REMAINS IN EFFECT * LOCATIONS AFFECTED - Huntington - Smithtown - Port Jefferson * WIND - LATEST LOCAL FORECAST: Equivalent Tropical Storm force wind - Peak Wind Forecast: 40-50 mph with gusts to 70 mph - Window for Tropical Storm force winds: Tuesday afternoon until Tuesday evening - THREAT TO LIFE AND PROPERTY THAT INCLUDES TYPICAL FORECAST UNCERTAINTY IN TRACK, SIZE AND INTENSITY: Potential for wind 58 to 73 mph - The wind threat has remained nearly steady from the previous assessment. - PLAN: Plan for dangerous wind of equivalent strong tropical storm force. - PREPARE: Remaining efforts to protect life and property should be completed as soon as possible. Prepare for significant wind damage. - ACT: Move to safe shelter before the wind becomes hazardous. - POTENTIAL IMPACTS: Significant - Some damage to roofing and siding materials, along with damage to porches, awnings, carports, and sheds. A few buildings experiencing window, door, and garage door failures. Mobile homes damaged, especially if unanchored. Unsecured lightweight objects become dangerous projectiles. - Several large trees snapped or uprooted, but with greater numbers in places where trees are shallow rooted. Several fences and roadway signs blown over. - Some roads impassable from large debris, and more within urban or heavily wooded places. A few bridges, causeways, and access routes impassable. - Scattered power and communications outages, but more prevalent in areas with above ground lines. * STORM SURGE - LATEST LOCAL FORECAST: Localized storm surge possible - Peak Storm Surge Inundation: The potential for 1-3 feet above ground somewhere within surge prone areas - Window of concern: Tuesday afternoon until early Wednesday morning - THREAT TO LIFE AND PROPERTY THAT INCLUDES TYPICAL FORECAST UNCERTAINTY IN TRACK, SIZE AND INTENSITY: Potential for storm surge flooding greater than 1 foot above ground - The storm surge threat has remained nearly steady from the previous assessment. - PLAN: Plan for storm surge flooding greater than 1 foot above ground. - PREPARE: Complete preparations for storm surge flooding, especially in low-lying vulnerable areas, before conditions become unsafe. - ACT: Leave immediately if evacuation orders are given for your area. - POTENTIAL IMPACTS: Limited - Localized inundation with storm surge flooding mainly along immediate shorelines and in low lying spots, or in areas farther inland near where higher surge waters move ashore. - Sections of near shore roads and parking lots become overspread with surge water. Driving conditions dangerous in places where surge water covers the road. - Moderate beach erosion. Heavy surf also breaching dunes, mainly in usually vulnerable locations. Strong and frequent rip currents. - Minor to locally moderate damage to marinas, docks, boardwalks, and piers. A few small craft broken away from moorings. * FLOODING RAIN - LATEST LOCAL FORECAST: - Peak Rainfall Amounts: Additional 1-3 inches, with locally higher amounts - THREAT TO LIFE AND PROPERTY THAT INCLUDES TYPICAL FORECAST UNCERTAINTY IN TRACK, SIZE AND INTENSITY: Potential for moderate flooding rain - The flooding rain threat has remained nearly steady from the previous assessment. - PLAN: Emergency plans should include the potential for moderate flooding from heavy rain. Evacuations and rescues are possible. - PREPARE: Consider protective actions if you are in an area vulnerable to flooding. - ACT: Heed any flood watches and warnings. Failure to take action may result in serious injury or loss of life. - POTENTIAL IMPACTS: Significant - Moderate rainfall flooding may prompt several evacuations and rescues. - Rivers and streams may quickly become swollen with swifter currents and may overspill their banks in a few places, especially in usually vulnerable spots. Small streams, creeks, canals, and ditches may overflow. - Flood waters can enter some structures or weaken foundations. Several places may experience expanded areas of rapid inundation at underpasses, low lying spots, and poor drainage areas. Some streets and parking lots take on moving water as storm drains and retention ponds overflow. Driving conditions become hazardous. Some road and bridge closures. * TORNADO - LATEST LOCAL FORECAST: - Situation is somewhat favorable for tornadoes - THREAT TO LIFE AND PROPERTY THAT INCLUDES TYPICAL FORECAST UNCERTAINTY IN TRACK, SIZE AND INTENSITY: Potential for a few tornadoes - The tornado threat has remained nearly steady from the previous assessment. - PLAN: Emergency plans should include the potential for a few tornadoes. - PREPARE: If your shelter is particularly vulnerable to tornadoes, prepare to relocate to safe shelter before hazardous weather arrives. - ACT: If a tornado warning is issued, be ready to shelter quickly. - POTENTIAL IMPACTS: Limited - The occurrence of isolated tornadoes can hinder the execution of emergency plans during tropical events. - A few places may experience tornado damage, along with power and communications disruptions. - Locations could realize roofs peeled off buildings, chimneys toppled, mobile homes pushed off foundations or overturned, large tree tops and branches snapped off, shallow rooted trees knocked over, moving vehicles blown off roads, and small boats pulled from moorings. * FOR MORE INFORMATION: - http://scoem.suffolkcountyny.gov - https://weather.gov/nyc - https://ready.gov/hurricanes

Cuomo Administration Demands 35 Companies Cease and Desist Offering Illegal Online Payday Loans That Harm New York Consumers

LongIsland.com

Extensive DFS investigation uncovers companies offering illegal payday loans to New York consumers with annual interest rates as high as 1,095 percent

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Albany, NY - August 6, 2013 -  Governor Andrew M. Cuomo announced today that his Administration demanded 35 online companies cease and desist offering illegal payday loans to New York consumers. An extensive, ongoing New York State Department of Financial Services (DFS) investigation uncovered that those companies were offering payday loans to consumers over the Internet in violation of New York law, including some loans with annual interest rates as high as 1,095 percent.

 

Governor Cuomo also announced today that Benjamin M. Lawsky, Superintendent of Financial Services, sent letters to 117 banks – as well as NACHA, which administers the Automated Clearing House (“ACH”) network and whose board includes representatives from a number of those banks – requesting that they work with DFS to cut off access to New York customer accounts for illegal payday lenders. Illegal payday loans made over the Internet are made possible in New York by credits and debits that must pass through the ACH network. The Cuomo Administration is requesting that those banks and NACHA work with DFS to create a new set of model safeguards and procedures to cut off ACH access to payday lenders.

 

“Illegal payday lenders swoop in and prey on struggling families when they’re at their most vulnerable – hitting them with sky-high interests rates and hidden fees,” said Governor Cuomo. “We’ll continue to do everything we can to stamp out these pernicious loans that hurt New York consumers.”

 

Superintendent Lawsky said: “Companies that abuse New York consumers should know that they can’t simply hide from the law in cyberspace. We’re going to use every tool in our tool-belt to eradicate these illegal payday loans that trap families in destructive cycles of debt.”

 

Superintendent Lawsky also issued a letter today to all debt collection companies operating in New York specifically directing them not to collect on illegal payday loans from the 35 companies DFS’s investigation has identified to date. Previously, in February, Superintendent Lawsky sent letters to all debt collectors in New York stating that it is illegal to attempt to collect a debt on a payday loan since such loans are illegal in New York and any such debts are void and unenforceable.

 

Payday loans are short-term, small-value loans that are typically structured as an advance on a consumer’s next paycheck. Oftentimes payday lenders debit only the interest and finance charges from a consumer’s account – even though a consumer may believe they are paying down principal, which effectively extends the length of the loan. In most cases, consumers must affirmatively contact the payday lender if they actually want to pay off the loan.

 

Payday lending is illegal in New York under both civil and criminal usury statutes. In some cases, however, lenders attempt to skirt New York’s prohibition on payday lending by offering loans over the Internet, hoping to avoid prosecution. Nonetheless, Internet payday lending is just as unlawful as payday lending made in person in New York.

 

The following 35 companies received cease and desist letters today from Superintendent Lawsky for offering illegal payday loans to New Yorkers. DFS’s investigation found that a number of these companies were charging interest rates in excess of 400, 600, 700, or even 1,000 percent.

 

• ABJT Funding, LLC, www.dollarpremier.com
• Advance Me Today, www.advancemetoday.com
• American Web Loans, www.americanwebloan.com
• Archer Direct, LLC, www.archerdirectservices.com
• Bayside Loans, www.baysideloans.com
• BD PDL Services, LLC, www.bottomdollarpayday.com
• Blue Sky Finance, LLC , www.extrafundscash.com
• BS Financial Group Inc., www.paydayaccelerated.com
• Cash Jar, www.cashjar.com
• Cash Yes, www.cashyes.com
• Discount Advances, www.discountadvances.com
• DMA Financial Corp., www.qloot.com
• Eastside Lenders, LLC, www.eastsidelenders.com
• Fast Cash Personal Loans, www.fast-cash-personal-loans.com
• Golden Valley Lending, www.goldenvalleylending.com
• Government Employees Credit Center, Inc., www.cashdirectexpress.com
• Great Plains Lending, LLC, www.greatplainslending.com
• Horizon Opportunities, LLC, www.paydaycashlive.com/horizon-opportunities-PAYDAY-LOAN
• Loan Point USA Online, www.loanpointusaonline.com
• MNE Services, Inc., www.ameriloan.com
• MobiLoans, LLC, www.mobiloans.com
• MyCashNow.com, Inc., www.mycashnow.com
• National Opportunities Unlimited, Inc., www.itsmypayday.com
• Northway Broker Ltd., www.myzip19.com
• PayDayMax Ltd., www.paydaymax.com
• Peak 3 Holding, LLC, www.peak.3.holdings.pay.day.loans.750cashs.com
• Plain Green, LLC, www.plaingreenloans.com
• Red Rock Tribal Lending, LLC, www.castlepayday.com
• SCS Processing, www.everestcashadvance.com
• SFS, Inc., www.oneclickcash.com
• Sonic Cash, www.soniccash.com
• Sure Advance, LLC, www.sureadvance.com
• Tribal Credit Line, www.quickcredit911.com
• United Consumer Financial Services, Inc., www.ezpaydaycash.com
• Western Sky Financial, LLC, www.westernsky.com

 

A full copy of the cease and desist letter from Superintendent Lawsky is available below:

 

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August 5, 2013
RE: Illegal Online Payday Loans Offered and Sold to New York Consumers

 

Based upon an investigation by the New York State Department of Financial Services (“the Department”), it appears that your company and/or its subsidiaries, affiliates or agents are using the Internet to offer and originate illegal payday loans to New York consumers. This letter serves as notice that these payday loans violate New York’s civil and criminal usury laws. Pursuant to the New York Financial Services Law, effective immediately, your company, its subsidiaries, affiliates, agents, successors and assigns are directed to CEASE & DESIST offering and originating illegal payday loans in New York.

 

Debt collectors are reminded that, pursuant to the provisions of General Obligations Law § 5-511, loans offered in New York with interest rates above the statutory maximum, including payday loans made by non-bank lenders, are void and unenforceable. Attempts to collect on debts that are void or unenforceable violate General Business Law § 601(8) and 15 U.S.C. §§ 1692e(2) and1692f(1) of the Fair Debt Collection Practices Act.

 

Under the New York General Obligations Law § 5-501 and the New York Banking Law § 14-a, it is civil usury for your company to make a loan or forbearance under $250,000 with an interest rate exceeding 16 percent per annum. Further, under New York Penal Law §§ 190.40-42, your company commits criminal usury every time it makes a loan in New York with an interest rate exceeding 25 percent per annum. In addition, under the provisions of General Obligations Law § 5-511, usurious loans offered by non-bank lenders are void and unenforceable; therefore, collection of debts from payday loans violates New York General Business Law § 601(8) and 15 U.S.C. §§ 1692e(2) and 1692f(1) of the Fair Debt Collection Practices Act. Further, insofar as your company has made payday loans in New York, your company has violated § 340 of the New York Banking Law, which prohibits unlicensed non-bank lenders from making consumer loans of $25,000 or less with an interest rate greater than 16 percent per annum.

 

Within 14 days of the date of this letter, your company is directed to confirm in writing to the Department that your company and its subsidiaries, affiliates or agents no longer solicit or make illegal payday loans in New York, and outline the steps taken to cease offering these loans to New York consumers. Should your company, its subsidiaries, affiliates, agents, successors or assigns fail to comply with this directive by August [ ], 2013, the Department will take appropriate action to protect New York consumers.

 

Very truly yours, 
Benjamin M. Lawsky

Superintendent of Financial Services

 

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