To date, Bing will not accept ads for payday advances, understood to be loans that may come due within 60 times of origination or with rates of interest greater than 36%. Customer advocates across the nation and beyond our edges are applauding your decision as one step toward protecting individuals in dire straits that are financial “solutions” that more frequently than not place them deeper with debt. Not everybody is cheering, however.
Town Financial solutions Association of America (CFSAA), which positions itself as “the only organization that is national entirely to marketing accountable legislation associated with the pay day loan industry and customer defenses through CFSA’s recommendations,” was quick to condemn Google’s decision. The company couldn’t quite decide, though, just exactly what its objection was. The CFSAA statement alleged that Bing was disguising a “business choice” as customer advocacy and that “Google kowtows to those activists whose only objective would be to expel payday lending. in a solitary paragraph”
Apart from the kowtowing allegation, CFSAA claims that the search giant’s choice had been built to give you an edge that is competitive LendUp, a quick payday loan alternative company by which Google’s investment capital arm has spent. It’s not clear just exactly exactly what that benefit will likely to be, because the ban effects LendUp along side other short-term, high-interest loan providers. The strongest objections come from those who feel Google has too much market share—and thus, too much power—to exercise the type of judgment legally and traditionally left to a private company outside the industry. The argument goes, Google’s 60%+ market share means it wields too much influence while a typical private business may choose the individuals, organizations and industries with which it does business.