Charles Schumer warned New Yorkers yesterday to avoid payday loan providers offering to give a cash advance on the $600 stimulus checks taxpayers will receive in June. Chuck Grassley (R- Iowa ) will send a letter today to payday loan providers, warning them to abide by state laws that cap interest rates. State law restricts loans with interest rates higher than 25 percent, though such lenders can legally solicit New York State residents if they operate from out of state by telephone. The stimulus package that passed Congress last week will send a $600 rebate check plus $300 per child to anyone who paid taxes and earned up to $75,000 in 2007 or families that made up to $150,000. read more

Filed in: Cash Day Advance