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That loophole enables national banks to engage in rent-a-charter.
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Regulator Urges Banks to Compete With Payday Lenders. Nov 22, 2013. Payday Loan Place Window Graphics. That is, a state-chartered bank is allowed to charge interest on loans to out of state. Cable company Charter Communications (CHTR) is close to an agreement with banks to raise funds. A handful of national payday loans charter essentially rented out their charters to third party payday lenders.
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