Lending and California’s Usury Laws
California usury laws add a layer of complexity to doing business in the state. Usury laws limit the amount of interest that can be charged by various parties, and usury is the charging of interest in excess of the amounts permitted by those laws. The California Constitution characterizes “interest” as fees, bonuses, commissions, discount, or other compensations received from a borrower. Before brushing aside usury laws, it is important to know that any lender that originates a usurious loan in California will be subject to tough civil penalties. Unfortunately,...Read More
Setting the Standard
A Brief Overview of the CFP Board’s New Code of Ethics and Standards of Conduct Effective October 1, 2019, CFP (Certified Financial Planner) Board’s new Code of Ethics and Standards of Conduct (“Code and Standards”) was issued. The Code and Standards sets forth the ethical standards for CFP professionals, and replaces CFP Board’s current Code of Ethics, Rules of Conduct, Financial Planning Practice Standards and Terminology. The enforcement date for the new Code and Standards is June 30, 2020. The new Code and Standards includes a range of important changes,...Read More
Cannabis Lending: Marijuana Loans for the Hard Money Broker
Do you remember when your parents said your love of marijuana would get you a first-class ticket on the road to nowhere? It turns out they were wrong. These days, that skunky pot odor translates into the sweet smell of success thanks to the booming cannabis industry. You just need to get a marijuana loan to open a business, then you can start raking in the profits. Considering that marijuana is a $2.75 billion industry in California, those profits can be huge. There is one problem though, and it could cause your entire plan to go up in smoke. You don’t have the...Read More
Investing… As Old As Money Itself
US investors have many options today when they are deciding where to put their money. If you turn on the television you’ll see advertisements for all kinds of online brokerage services, banks and even companies that sell gold and silver. And because of all the advertising, people are somewhat familiar with those investments. But fewer people are familiar with trust deed investing, although it’s a form of investing that is probably as old as money itself. Simply put, trust deed investing is investing in loans that are secured by real estate. At Evoque Lending, we...Read More
