States Set Collision Course Over Pay-on-Demand for Earned Wages
“Frankly the direct-to-consumer model is just a garden variety payday loan,” said Andrew Kushner, senior policy counsel at the Center for Responsible Lending.
Red Alert Rates: Annual Percentage Rates on $400, Single-Payment Payday Loans in the United States
Payday lenders charge exorbitant fees to borrowers without assessing their ability to repay, and the annual interest rates on these loans are in the triple digits.
States without Payday and Car‐title Lending Save $5 Billion in Fees Annually
Payday and car title loans are small-dollar, high-cost products that thrive on keeping consumers in a cycle of debt. With lenders doing essentially no underwriting, consumers find it easy to obtain these loans, often marketed as a solution to financial emergency. However, the unaffordability of the loan and the lenders extreme leverage over the borrowers – either through direct access...
Map of U.S. Payday Stores per Household
This color-coded map of payday stores by household reveals a disturbing pattern. Southern states are among the most targeted for these high-cost, low-dollar loans.