If you ever need a payday loan

AlFromLA · #1 (**permalink**) 03-18-2010, 05:50 PM

There are a few things you must know about payday lending. It is increasing. And if you think you are safe from a payday loan situation you could be wrong. Many of the payday borrowers are middle class professionals like teachers and nurses. That is right nurses!

Banks aren't lending, the credit situation is all mixed up, and payday advance loans are on the rise. So if you ever need to get a payday loan, I recommand the following:

1. If you want to get a loan online, get it from an online direct lender
There are many online lead generation websites out there that sell your information to a ton of lenders. By searching for a direct payday lender, you can feel a bit more safe that your information is less likly to be sold

2. Lower fees: Because you are eliminating the middle man, the rates are more likely to be less

3. More default flexibility: direct lenders tend to work with you if you can't pay your payment on time if you are their direct customer. Why? Because you were a cheaper customer for them. However if they have to buy your business from someone else, they will not qualify you as much for a loan AND they will be less flexible when it comes to the payment.

coach2wealth · #2 (**permalink**) 03-27-2010, 07:22 PM

There is no way to win with payday loans. The effective interest is often several hundred percent. PLEASE don't do payday loans.

sapphirecapital · #3 (**permalink**) 03-28-2010, 05:44 AM

payday loans are often the loans of last resort, while the risk is high and therefore high interest understandable, most payday lenders overdo it, borrowers think they can get buy with a small fix etc, the result is often a never ending story, so just forget they exist, any solution avoiding them is usually better than such a loan

razek · #4 (**permalink**) 04-07-2010, 02:18 PM

If people spend less that what they earn they will never be in debt. If they spend less they will never need a payday loan. Why is it so difficult to understand?

sapphirecapital · #5 (**permalink**) 04-07-2010, 02:56 PM

ah my friend, you never hit a snag in your life and were grasping at everything to get around, never thought about using the payday loan people? Its tempting till you get a grip on yourself and read thee fine print and actually calculate what it will cost. I can only advise against it, however I see the temptation for people which hit a rough road in life.

coach2wealth · #6 (**permalink**) 04-16-2010, 10:41 AM

Never, never do a pay day loan! The cost is enormous!

Tighten your budget. Find extra work. Go to your church for help. Sacrifice and fight, but never pay these exorbitant cost. You can't win when you get in this cycle.

michael.smith · #7 (**permalink**) 04-28-2010, 08:12 PM

Payday loans are very bad; you should try not to get near at this kind of loan.

TMBGfan · #8 (**permalink**) 04-29-2010, 12:06 PM

I can accept that desperate times call for desperate measures but some pay-day loans charge up to 10,000% annual interest. That seems borderline criminal.

investor123 · #9 (**permalink**) 05-29-2010, 01:23 AM

People who resort to payday lending are typically low-income people with few assets, as these are people who are least able to secure normal, lower-interest-rate forms of credit. Since the payday lending operations charge such high interest-rates, and do nothing to encourage savings or asset accumulation, they have the effect of depleting the assets of low-income communities.

I hate it when I people resort to payday loans and get scammed.

AlFromLA · #10 (**permalink**) 06-10-2010, 08:02 PM

Some people have to take personal payday loans because they don't have that many options. These loans are there as last option for those who have very limited income and have bad credit.

I have found some good sources about payday loans that educate you all about payday lending and payday loans and when to take it and when not to

littleroc02us · #11 (**permalink**) 06-11-2010, 04:38 PM

Why do you think the largest owner of payday loan establishment put these in depressed areas and he makes the entries of his buildings look old school. Read business week regarding this.

stuart45 · #12 (**permalink**) 08-19-2010, 03:09 AM

Payday loans are not bad .Many who use payday loans are people who can barely afford to eat, but there’s also another set of people who use them for short term like once or twice a year for true emergencies, and pay them off within the 2 week period.

Eric80 · #13 (**permalink**) 10-27-2010, 02:13 PM

Yeah Payday loans can be appreciated for those people who are middle class. But sometimes it turns harassment except benefit. Interests should be more friendly I think.

cyrix · #14 (**permalink**) 10-28-2010, 03:44 AM

Payday loans are to be avoided, if at all possible. Although I suppose they can be useful if you are desperate.

hellknightsc · #15 (**permalink**) 11-29-2010, 11:19 PM

Ya so, everyone seems to be completely against payday loans, and if you look on the surface, I understand why. Many people against these loans quote 500% APRs and such to prove their case. Well, this number would seem fair if payday loans were Annual loans, but they are not. For many payday loans you will pay a $15 fee per $100 you borrow. Essentially, you are paying a 15% short term rate. If you were paying it over a year at this rate, sure it would be $500 in interest at a 500% APR for every $100 borrowed, and you'd have to be stupid to do this, but payday loans are only SHORT TERM loans, and should only be used that way! If you are NOT completely sure that a payday loan will save your butt from getting evicted, losing your car, or paying exorbitant bank OD/NSF fees, and that you will be able to get back on track after paying the payday loan off and not need a new one, then you should not get the loan! Period.

Use lending wisely, or you will forever belong to the money hungry banks.

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