Google Lauded for Banning Payday Loan Ads, Calling Them ‘Harmful’

Payday Loan Ban

If you have yet to install ad-blocking software – and you’ve search for payday loans – then you’ve likely noticed the latest influx of payday loan ads on the Google search engine. Since a lot of payday loan companies are turning to the Internet to offer their service, there’s a growing number of online payday loan advertisements being scattered all over the online landscape.

Google is putting an end to this practice. The search engine juggernaut confirmed Wednesday that it will prohibit all ads from payday loans, referring to the industry as being “deceptive” and harmful” for consumers.

As of July 13, 2016, the tech titan will start to clampdown on the industry. In the summer, Google will not permit any ads for payday loans due within 60 days and ads for payday loans that come with an interest rate of at least 36 percent. This means payday loans will fall in the same category of other banned product ads, such as weapons, tobacco, hate speech and bombs.

It should be noted that the ban will not affect businesses providing auto loans, credit cards, student loans or mortgages.

Ultimately, says David Graff, Google director of global product policy, the company’s “hope is that fewer people will be exposed to misleading or harmful products.” He adds: “Financial services is an area we look at very closely because we want to protect users from deceptive or harmful financial products.”

Over the last several years, businesses that offer loans for bad credit with monthly payments have been the target of extreme vitriol from politicians, anti-poverty activists and consumer advocacy organizations. In the United States, 18 states have prohibited payday loans, and now the Consumer Financial Protection Bureau (CFPB) is looking to adopt federal regulations for the industry.

However, Google’s latest initiative could have a greater impact than any legislation would. The search engine handles more than two-thirds of online queries, and most of the ads you come across are based on your searches. If someone is looking for payday loans they won’t be exposed to related advertisements.

The payday loan industry has already responded to Google’s move. Amy Cantu, a spokeswoman with the Community Financial Centers Association of America, the trade group representing payday lenders, called the ban “discriminatory” and a form of “censorship.”

Tech experts say this is an impressive initiative on the part of Google, considering how lucrative payday loan ads really are for the search engine powerhouse.

“This is an impressive stance taken by Google to follow their ideology of ‘do not evil,'” said one search engine optimization consultant in an interview with The Memo. “The average cost of a paid advert on Google for ‘payday loans’ is around £11 ($16) per click and with over 200,000 searches in the UK per month, Google is giving up millions of pounds worth of revenue.”

It makes sense from a business stand point. Since the Google brand has taken a beating in recent years over privacy concerns, analysts say the company needs to be a lot more consumer-friendly. Scrutinizing financial services is definitely one way to change users’ perception of the website.

Why Online Banking Will Continue to Grow

Internet Banking

A recent report has shown that the online banking industry is enjoying a popularity boom and according to officials the popularity of this sector is set to continue rising. Officials said that online banking was a little slow to get off the ground initially, largely because when it was introduced many people were unsure as to the security of their details when it came to something as important as their bank accounts.

However, today’s customers are millennials who were brought up in the age of the internet and have become used to doing everything online. This is a generation that prefers options such as online banking as opposed to inconvenient traditional banking, which has resulted in the popularity of internet banking rising as more and more young people start opening and switching bank accounts.  

Increased ease and convenience for customers

One of the main reasons why online banking has become so popular amongst younger people is the total ease and convenience that it offers. Many younger people are working full time or at colleges and universities, which makes it difficult for them to go to bank branches in order to deal with financial transactions. However, with access to high tech devices and services such as smartphones, tablets and 4G connections, younger people are easily able to conduct transactions like these from the comfort of work, from home, or while on the move.

Millennials are also more trusting when it comes to conducting financial transactions online, which has further helped to boost the popularity of online banking amongst people in this age group. While traditional banking methods are still more popular with the older generation, younger people enjoy the ease, convenience and easy access that online banking provides.

In many cases, online banks also impose lower charges that traditional banks in the form of penalties and some also offer incentives to those who switch to them. For younger people, these are all valuable benefits that further enhance their interest in this type of bank account. More and more traditional banks have now started offering online facilities in order to benefit from the growth in popularity of this type of banking.

One official said that online banks were gaining a bigger and bigger share of the market these days and this was a trend that would most likely continue. Online only banks were also the only banking category to have gained market share amongst retail customers in the past ten years. 

Going Green Can Equal Big Savings

Global Environmental Recycling

Most people these days are well aware of the importance of going green. With the environment and planet at risk, businesses and individuals need to take steps to ensure that they lead more eco-friendly lifestyles and there are various ways in which this can be done. While some people are very diligent when it comes to being green there are others who often let things slide. However, officials have said that those who do follow a greener lifestyle at home could enjoy double benefits, as they will be doing their bit for the environment and could also save themselves a fair amount of money.

Experts have said that there are various very simple and effective ways in which people can go green, benefit the environment and save on their outgoings. Just developing some good habits while at home can save people a surprising amount of money and can have a big impact on the environment.

Saving money with a greener lifestyle

There are many different ways in which households can implement a greener way of life that can save them money. For instance, something as simple as ensuring that all electrical appliance and gadgets are turned off at night rather than being left on standby can make a big difference in terms of energy consumption, which then helps to reduce your energy bills.

Another thing that many people tend to do is leave lights on in rooms that are not even being used or leave fires on unnecessarily. Again, this is something that can waste a lot of energy and can have a negative impact on your energy bills so making sure you switch off lights that are not needed and turn fires off will help to save you money.

Although it does involve an initial investment, households can benefit hugely from having double glazing fitted or if they can’t quite stretch to that there is the option of secondary glazing. This can help to ensure that the home stays warm without having to put heating on all of the time, which reduces energy usage and bills. It can also help to increase the value of the home and make it more saleable in the event that you decide to sell in the future.

These are just a few of the recommended ways in which people can reduce the amount of energy that they are using and do their bit for the environment. In addition, it can make a big difference to the amount that is being paid out on energy, which means that your pocket also benefits.