Stephanie Garland: Use caution when contemplating cash advance

Stephanie Garland: Use caution when contemplating cash advance

Whenever money operates quick and bills are looming, some customers aim to payday advances. These loans can snowball into a significant debt obligation of their own, with high interest rates and high-pressure collection tactics if not approached with caution.

Pay day loans involve borrowing cash against the next paycheck.

Borrowers write a look for the quantity they would like to borrow, plus any finance costs, and cash that is receive. The average loan term is approximately fourteen days, but loans may be renewed — and sometimes are.

Pay day loans can have excessive charges; a typical finance fee is $15 or $30 per $100 lent, and yearly interest levels can balloon in to the hundreds. Continue reading “Stephanie Garland: Use caution when contemplating cash advance”