UPDATE: Moratorium proposed by LB City Council will likely halt appeal on auto-title loan firm moving into Wrigley 3

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3 thoughts on “UPDATE: Moratorium proposed by LB City Council will likely halt appeal on auto-title loan firm moving into Wrigley

  • Drew

    Great article. To help everyone with the math…the 0.33% per day interest rate that Pennbrooke likes to quote actually equates to a 120% APR loan. That doesn’t sound like the company will bring a positive impact to Long Beach if you asked me.

    Councilmembers are doing the right thing by considering a one-year moratorium on these loan sharks. Anything less on Tuesday is an implicit acknowledgment by each Council Member who votes no that they are comfortable with their most vulnerable residents being ripped off like this.

    Studies from around the country have shown the detrimental impacts that auto title loan companies bring to the communities they are allowed to enter. In fact, the same company that is proposing to come into Long Beach (which goes by the name Loan Max in other states but is not allowed to use that name in California) has been kicked out of the District of Columbia for illegal practices and has settled lawsuits out of court in Virginia.

    There are compelling and specific justifications for why auto title lenders like Pennbrooke are incompatible land uses. Council has an opportunity to stand up on Tuesday night to objectively research these justifications over the next year and put a temporary halt to any of these places moving in. By doing so, they are standing up for the best interests of Long Beach residents and against companies whose only objective is to take advantage of our city.

  • Drew-Response

    The real, non-realestate loan rate right now is 18-24% What difference does it make WHERE they are located? Can’t they make loans from just about anyplace? By phone? By skype?

    This tenant might have really cleaned up the property.

  • concerned

    The first question you have to ask yourself is “Why is Pembrooke willing to hire the most expensive consultant and attorneys?” the reason being is because there is so much money at stake here. They are coming into California for the first time. They chose Long Beach ( Wrigley ) because it was a perfect place to fleece the little money this community has from its least educated population. This is not conjecture this is fact. They have stated that thier loans are directed to “small business contractors”. They have not provided any evidence to show this area is a mecca of small businesses. If you look at where they establish themselves it is in low income, low educational level communities. This being done so as to take advantage of this population. Pembooke is willing to expend all it has to in order to force this on the community that does not want it here, the reason being that Long Beach is the foothold they need to get thier teeth into the financial veins of population that is most at risk. As for Mrs. Mendoza she has had ample opportunities to rent this location out if she wanted to, maybe these were not the most glamorous uses but were not detrimental. Mrs. Mendoza states that she is “Concerned” as to what use will be best for our community, the reality is she is selling out to the highest bidder and could care less who rents it. We will keep fighting to keep this cancer from infesting our neighborhood. If by some reason of the political nature this is allowed to be established in Wrigley then the fight will just have to be brought to City Hall. There is a reason “Recall” elections were created. How can a Councilman support a business that is detrimental to the very community he is entrusted to protect?.