Cash Pay Advance

In comparison, credit card companies have reported charge-off rates of four to six percent over the last few years(3) — yet their interest rates are much lower than payday lenders’. About a dozen states control payday lending by enforcing two-digit interest rate caps, and several states are considering removing exemptions for payday lenders or passing new enforcements of existing caps. The Council vote reversed an exemption passed in 1998, which allowed payday lenders to charge interest rates of 350 to 550 percent and authorized their practice of trapping borrowers in long-term debt. A number of additional states are considering capping consumer loan interest rates at two digits or removing exemptions from existing caps to combat payday lending’s usurious interest rates. Find Out More

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