Three payday lenders have agreed to settle FTC charges that their Internet advertising stated the cost of loans without disclosing annual percentage rate information that federal law requires. This information helps consumers compare the costs of these payday loans to other payday loans and to alternative forms of short-term credit. Among other things, the settlements require that the lenders must disclose the annual percentage rate in similar loan ads in the future. As a reminder, marketers shoudl be careful to include key disclosures, such as the APR, as required by the Truth in Lending Act and Regulation Z when advertising certain credit offers.
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