|Payday Loans | Myth #5|
Payday loans are two-week loans — not annual loans! Industry critics quote the “390% annual percentage rate” to misrepresent the truth and to help make their case. The typical fee charged by payday lenders is $15 per $100 borrowed, or a simple 15 percent for a two-week duration.
So, how does a $100 payday loan compare?
• A $100 payday advance with a $15 fee is equal to a 391% APR
• A $100 bounced check with $54 NSF/merchant fees is equal to a 1,409% APR
• A $100 credit card balance with a $37 late fee is equal to a 965% APR
• A $100 utility bill with $46 late/reconnect fees is equal to a 1,203% APR
Take advantage of Indiana & Tennessee great payday loan rates for the cash you need to cover your everyday, expected expenses.
|Note: Cash Advances are not intended to meet long-term financial needs, but only a short-term need. Consumers should seek credit counseling for credit difficulties|