INDIANAPOLIS – Many fear financial dilemmas due to the pandemic could have individuals operating to pay day loan organizations for assistance.
This may cause a period of financial obligation which our lowest income Hoosiers can’t find their way to avoid it of.
“This is whenever the squeeze will probably take place and folks will probably be lured to check out these shop fronts with really high interest rates,” said Senior Policy Analyst Erin Macey with all the Indiana Institute for performing Families. “Or also online loans, that can be much more devastating.”
The Indiana Attorney General, or the Consumer Financial Protection Bureau to make sure they are legal in this state if you’re involved with an online loan, Macey recommends contacting the Indiana Department of Financial Institutions.
At this time in Indiana, cash advance interest levels is often as high as 391% APR.
“We’ve been calling for a 36% limit on loans in Indiana,” said Macey.
The U.S. Military caps loans at as well as 16 other states, some areas cap it at even less that’s the rate. Continue reading “Pandemic poses issues for predatory lending in Indiana”