By Jessica Dyer / Journal Staff Writer
Monday, July 22nd, 2019 at 12:05am
Copyright © 2019 Albuquerque Journal
A huge selection of town of Albuquerque workers have actually lent a lot more than $600,000 through a brand new program meant as an option to payday advances – one the town helps promote and administer.
California-based Employee Loan Options supplied 316 of their “TrueConnect” short-term loans to Albuquerque’s municipal employees underneath the auspices of a 2018 contract because of the town. The loans come with a 24.99% interest rate together with populous town automatically deducts loan payments – made over year – from employees’ paychecks.
TrueConnect provides “an selection for workers that are having or going via a difficulty or come in a crisis situation that will leave them in serious straits, ” said Patricia Martinez, deputy manager of Albuquerque’s Human Resources Department.
Brand New Mexico has about 600 licensed payday, name along with other tiny loan providers, based on the state Regulation and Licensing Department internet site. Those businesses may charge interest prices as much as 175%.
Officials give consideration to use of the loans area of the town’s benefits package, by having A trueconnect ad in the town’s employee advantages handbook that touts the convenience of this application procedure and quick option of funds.
“Sometimes all of us need a little assistance, ” the TrueConnect page says. “We have actually partnered together with your manager to supply that you employee benefit that is voluntary. TrueConnect is really a dollar that is small made to assist you to when you need it. Continue reading