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This opinion was issued in the second quarter of 2000.
A check-cashing store, in another state, offers certain loans offered to the citizens of the Commonwealth. These loans would be made by cashing a personal check for a consumer upon receipt and agreeing to deposit the check at a predetermined future date. These loans are generally referred to as "pay day loans."
Such loans are considered a form of predatory lending by the Division. The Division will take whatever action it can to protect the citizens of the Commonwealth from "pay day loans" or other predatory lending of this type. It is a strong recommendation from the Division to refrain from making such loans to citizens of the Commonwealth and refrain from seeking such business through advertisements appearing in Massachusetts.