The Perfect Holiday Gift: An End to Predatory Puppy Loans

That Holiday pup could be financed at interest rates higher than 151%

Photo by Rhaúl Velasquez Alva on Unsplash

While a new puppy or kitten may be the purrfect gift for your family this holiday season, some new pets in New Jersey come with a bit of coal in the stocking in the form of predatory financing.

Yes, that’s right - the sweet little pup may carry a high price tag from a pet store - and that inflated price can also mean financing your pet.

While puppy mills are tragic for the animals, consumers are also put at risk of financial devastation from situations in which they learn that their loan had an undisclosed, shockingly high interest rate and hidden fees. Pet stores drastically inflate the price of puppies, then push financing on customers.

These loans from pet stores in New Jersey can carry interest rates as high as 151%.

And it’s not just New Jersey:

A company known as EZ Pay Finance partners with banks like Utah’s TAB Bank to offer loans that skirt state interest rate caps.

EZ Pay offers financing for puppy purchases and car repairs.

They’ve been banned in some states:

And, New Jersey can kick them to the curb by passing new legislation to end pet store puppy sales - instead, allowing pet stores to partner with local pet adoption agencies to help facilitate pet-family bonding opportunities.

---

MORE CONSUMER NEWS

Bank Customers to Save $5 Billion a Year with Overdraft Fee Cap

BANNED: Student Loan Debt Collector Caught in Illegal Scheme