Protecting Maryland Merchants: Grant Phillips Law - Your Merchant Cash Advance Attorney

 Dozens of additional statutes and laws exist designed to PROTECT THE CONSUMER and govern the creditors. One slip up on any of these laws and a competent attorney can litigate and sue the creditor for such a violation. Common examples of violations are a creditor or lender not offering the client the necessary notices of increases in their APR (annual percentage rate), charging unexplained fees, or mailing statements late. The potential violation list goes on and on. https://grantphillipslaw.com/tackle-all-your-debt-with-a-debt-relief-attorney/

 When a debtor hires a debt expert or company additional problems arise. There is the too common issue of multiple creditors and the inability of the expert or debt settlement company to get ALL of the debtor’s creditors into one all-encompassing settlement. Worse yet, is the failure of the debt settlement company to contact the true and actual creditor making sure the party they are “negotiating” with is the true debt holder and not a third party collection agency without authorization to issue settlements, thus leaving the debtor open to collections down the road. https://grantphillipslaw.com/tackle-all-your-debt-with-a-debt-relief-attorney/

 The new law imposes multiple disclosure requirements similar to TILA (Truth in Lending), on funders and providers of corporate financing including Fintech, Factors, and Merchant Cash Advance transactions. Prior to enactment, there was no uniform methodology for the disclosure of vital components of the credit being extended to businesses, such as the total amount being borrowed, the total amount of repayment, the total interest cost, annual percentage rate, and a host of other disclosures, to be discussed later in this article https://grantphillipslaw.com/new-york-enacts-apr-disclosure-laws/

 This is significant development since New York’s Commercial Finance Disclosure Law (CFDL) went into effect August 1st, 2023 and in the law the CFDL has extended disclosure requirements ordinarily required for consumer lending to commercial financing instruments such as a merchant cash advance. https://grantphillipslaw.com/new-york-mca-final-disclosure-laws/

 The intent of S.B 5470 is to provide corporate and small business borrowers with more transparency surrounding their taking of credit, in order to allow for better, more informed decisions, a clearer understanding of how much is being borrowed and under what terms and to provide a corporate borrower with the ability to compare different offers of credit. https://grantphillipslaw.com/new-york-enacts-apr-disclosure-laws/

 What arrived next was enormous growth in a previously obscure lending instrument, ubiquitously known as a Merchant Cash Advance. A seemingly legal transaction whereby a predatory lender is permitted to charge what ordinarily would be considered usurious interest, without being guilty of breaking the law. https://grantphillipslaw.com/merchant-cash-advance-101-explained/

 This is significant development since New York’s Commercial Finance Disclosure Law (CFDL) went into effect August 1st, 2023 and in the law the CFDL has extended disclosure requirements ordinarily required for consumer lending to commercial financing instruments such as a merchant cash advance. https://grantphillipslaw.com/new-york-mca-final-disclosure-laws/