Mississippi and Payday Loans Go Hand In Hand

mississippi and payday loans

loan companies that grant short term loans are thriving and have established that Mississippi and payday loans go hand in hand.

With over 1000 loan storefronts across Mississippi, it takes little effort to find these places, and that is actually by design!

Along with location comes the ease to qualify for one of these loans and wham, you are on the top five on the recent list by The Consumer Financial Protection Bureau (CFPB)

Today we will look at why Mississippi is a hot bed for these high interest short term loans and what it means for the people living in this state!~

Instantly qualify to eliminate your payday loan debt for pennies on the dollar!

Cause and affect

There are several reasons why this state comes in so high on the list of top states that write these loans.

In general, the CFPB was the regulatory entity created by the Obama administration to combat these types of loans and regulate them and for the most part they were doing a good job.

They had new laws taking affect that would regulate the ability for the borrowers to afford to pay back these loans and cap the amount of interest the loan companies could charge.

They also had a cooling down time period between taking out these loans but all of that went away when the Trump administration eliminated all of the new regulations

They claimed it tied the loan companies hands and was causing undue loss of profits and they also claimed this type of regulation should be up to individual states to set their own policies and regulations.

The results of this action now have what was once the watchdog of the predatory lending industry becoming powerless to do any regulating.

Poverty level

fighting poverty

Another big factor in Mississippi is the number of people living from paycheck to paycheck and do not qualify for regular credit options.

When an emergency arises they have no place else to turn to get short term cash so off to the payday loan store they go, and to many this is a much needed option!

What is not needed is the lack of regulation that would keep this type of loan safe for the consumer to use.

The companies claim that they can not be profitable without charging huge interest rates but that is really only a small part of the real story.

These companies have a very shrewd business plan that targets the poor and takes advantage of them.

When you have people over a barrel and they need money they will take what they can get regardless of the risk involved and that puts them in a very bad place.

Risky business

Low income people who use these services are more likely than not to run into trouble paying the loan back on the due date in full and end up extending their loan.

This is where the predatory label kicks in.

Because the loan companies know that the average payday loan user will renew his or her loans on average 8 times before they pay it off in full they target these people, thus the number of storefronts in low-income areas.

This is a well thought out business plan to create huge profits at the expense of others hardships and that is how these loans get the nickname of predatory loans and in reality they are just that, predatory!

What can people in Mississippi do to combat this?

combating preditory lending

Mississippi like many other states really has to take a look at their state laws and come up with their own regulatory laws.

Many states like New York for example are completely eliminating these loans by making them illegal.

The problems that come along with each state doing it’s own regulating is this puts the politicians up against huge money in the payday loan industry that is notorious for lobbying relentlessly!

Our take

We feel that educating people on how to use these loans and keeping them out of the debt cycle is the best way for us to approach this.

Our article: “What Is A Payday Loan Trap” covers the best way to use these loans and stay out of trouble while doing so.

While these loans do serve a purpose that is greatly needed for the low-income people of Mississippi and many other states there need to be guidelines to follow when using them and the best defense is always knowledge!

Since the regulatory commission seems to have other ideas about the safely of predatory lending, we are more than happy to step up and help people understand how to safely use these services and how to not get caught up in the debt cycle that usually accompanies them.

Instantly qualify to eliminate your payday loan debt for pennies on the dollar!

48 thoughts on “Mississippi and Payday Loans Go Hand In Hand”

  1. Hi Shawn, Thanks for demonstrating the truth behind of our real life trap dept loans and it’s risk impact on living people and families that could be destroyed. but i want to flip the coin and ask a question. Is their any different way people can help their selves with out forced to trapped on Dept loans !?

  2. Not only did I think you did a great job on your website, that it was well written and had just the right amount of pictures. I was very impressed with what you wrote, the issue of pay-day loans has gotten out of hand. Its companies that want to prey on the low income. Glad you are writing about this, great job.

    1. Hi, Pam!

      Well, that you so much for the thewebsite review!

      They are getting out of hand and that is why we are here, to help level the playing field!

      Shawn>>

  3. That was a really informative article. Predatory lending is an awful thing and it makes me sad that there is a business model that thrives off of taking advantage of the poor. It’s good to know that some states are taking some action and making these types of loan illegal. They charge what ends up being an exorbitant interest rate and most of them have to have your checking account information before they will give you the loan so that they can take the payments back out automatically. I’ve known a lot of people who’ve gotten caught in this loop before. 

    1. Hi Stormy!

      Once they get your bank account numbers you are officially in big trouble if you do not understand the process. The best way to combat this is never giving up your bank info, and unfortunately like you say they require it for online payday loans so if you must get one use the storefront companies!

      Shawn>>

  4. I am sure to some, a payday loan seems like a way to get some cash until payday.  The fees look unreal, and I don’t know how anyone can get a payday loan and then afford to pay back the fees.  I just don’t see how these companies can operate like this.  It is probably an easy trap to fall into and hard to get out of.

    1. Hello!

      They not only survive, but they also make millions of dollars using this business plan of taking advantage of the poor. Seems to be the way of the world anymore and we are just glad to be able to be here and help people!

      Shawn>>

  5. I know of lots of people who get caught in a payday loan loop. People get paid on payday and have to pay back these high-interest loans, and on the same day take out another loan. It’s an endless cycle for them. I think that the cooldown time is a great idea. It’s sad that the Trump administration eliminated the policy.

    I agree that the payday loan industry prey on the poor. It’s like these loan companies qualify people for loans outside of their ability to pay it back within the loan term, for the reasons on getting whatever they can get from the poor.

    Again I agree, education is a must when a person takes out a payday loan. But this education should start inside of our schools. we should be teaching our children about the importance of saving and living within our means. Instead, we teach everyone how to consume more, which makes us want more. The more a person wants, the more money they need.

  6. Hi, First off I want to say thank you for the great research and knowledge on this subject. There are way to many people that fall victim to this and they are always the people in need. It is not right. Also I like how you brought to my attention about them strategically placing there stores in low income areas. It makes perfect sense.

    I want to thank you for this review on high interest loans, very informative and knowledgeable and I urge everyone to read it.

    Thank You,

    George

  7. Dear Shawn,

    I must say I found your article highly uplifting & educational and I can tell you I have taken some great insights from your article. This was very insightful.

    You are right, there are many companies which take advantage of the needy poor people who are in need of money. Some of my friends got loan and they faced a lot of struggles (Rip off), so I decided not to take loans. To be honest the interest rates are really high. By GODS grace I believe I stand firm on my decision. It seems Obama administration done good things compared to Trump administration on regulating these lending industries.

    One of my mentor advised me about having an emergency fund. My wife and myself having an emergency fund and we won’t take that money for any other purpose except in emergencies. So that in emergency we don’t need to struggle and look for loans.

    Great information, you have really given a lot of value here. I am going to share your article with my close friends in USA and I believe they gonna find value from this article.

    Much Success!

    Paul

    1. Hi, Paul!

      So glad you took your advisors advice!

      Having an emergency fund just makes sense and gives you so much peace of mind! Good for you two!

      Shawn>>

  8. Although I don’t live in Mississippi I found this information very useful. I am one of those people who needs to take a personal loan but I am scared to do it because of the chance of the company I take it from messing me over. I get offers in the mail all the time, but I don’t trust them. And your comment about Trump deregulating some of the rules that personal loan companies would have to adhere to make me nervous. Thanks for writing this!

    1. Hi, Lindsey!

      You are wise to avoid loan offers that come by either snail mail or email. They are populated with many different kinds of scams and you are doing the right thing by avoiding them!

      Shawn>>

  9. Thanks Shawn for sharing this informative post. I have wonderfully expressed your rich experience in words. You wrote about American States, but they prevails all across the world in similar forms or with slight difference. 

    Suggestions given by you are some key golden nuggets. Many readers will find this post very useful, as everyone experience this stage in their lives. Even, I’ll share this post with concerned people. Thanks for sharing this information. 

    1. You are so correct about this being a worldwide problem and I wish we could fix it all but the best we can hope for is to get the word out that there is help for people who get trapped in this kind of debt.

  10. I have family in MS and would have to agree with your article. These companies are basically preying on those with a lower income and do not have the credit to get like a personal or signature loan from their bank. Most folks don’t have a bank account. So many people fall prey to these places that are like the Walgreens – On every corner! They do need to be regulated and I am not sure it should be different for each state.

    1. Hi Scole and thanks for stopping by!

      I think a national set of rules and regulations would be the best way to go. It would be much eaisier to enforce and way less confusing for the customers.

      Shawn>>

  11. Hi Shawn, just want to tell you great job on drawing attention to a growing problem in America that a lot of people don’t know about. This is a nasty little circle of money grubbers that don’t mind exploiting the desperation of the underpaid, and people need to know about them in order to fight back.

    When someone says the words “loan shark”, I first picture the mafia, then the payday loan places. The correlation between these things speaks VOLUMES about the integrity of their “business”, and is just an example of the way people abuse the free enterprise system for personal gain. It’s a sad problem to have, but it is a problem nonetheless.

    Thanks again for bringing this flaw in the system to light, I’m sure you can have an impact on it just by educating people. Great success to you, man, and I hope you have a great day!

    Bobby

    1. Hi Bobby and thanks for taking time out to take a look at the article!

      I am just happy to be able to get the word out that there is help available for people who fall through the cracks 

      Please help spread the word that we are here!

      Shawn>>

  12. Hello Shawn, 

    I absolutely love what I read in this insightful article because it is full of great information. This is fascinating and interesting to me.but it’s so sad how this loan companies are extorting citizens with high rate of returns.the people who live from paycheck to another paycheck has no choice, the state might be poor but the legislative arm should create a board a to investigate on this high rate of interest. Good write 

    1. We completely agree with you on the board. Now if only that would happen but we feel it is a long way off.

      Thanks so much for stopping by!

  13. Thank you for sharing this post. Its very insightful and enlightening. Though I don’t really fancy taking loans because of the stress of repayment and high interests but its inevitable in dire emergency situations. With this post, I am enlightened about payday loans. I will put it on my emergency list should in case I am in dire need of money. Thanks so much 

    1. Thanks for checking out the article and remember, as long as you pay a payday loan in full on the first due date you should be OK.

      Shawn>>

  14. The “buy now pay later” mentality of today’s world is definitely driving people more and more into debt with often catastrophic consequences. Loans made easily available to vulnerable people seems to be the MO of many a dubious lender for which there appears to be little to no control over. 

    Do you believe the measures are being implemented will have a marked impact in protecting vulnerable groups from exploitation and do you think the other states will follow the example of Mississippi in addressing this issue?

    Rich

    1. Hi, Richard!

      We think that the laws as they are and as they should be are worlds apart and we do not see any changes that will bring them closer in the near future.

      That is why we are here and offer this service because sadly the need for them will be here for a very long time.

      Shawn>>

  15. This article is exceptionally rich in information, this is an exhaustive and helpful article indeed! I must commend you for taking your time to experience every action to revealing these secrets. Thanks for sharing the pros and cons attached to the loan. I think this is what I would love to try out very soon. Thanks for sharing

  16. Hello Shawn,

    This is a great informative article on the payday loans. Caught in a debt cycle is very common in our state (in many Indian states). I can say every household face this problem. Many small private companies have established in order to give fast and easy loans to the needed people. Their interest is very high. I think CFPB is great fencing not to cross their limits by the predatory industries. There is an urgent need of creating a regulatory body similar to CFPB for us also.
    Thanks a lot for sharing this insightful article. 

    Regards,
    Ranao.

    1. Hi, Ranao!

      I agree there is a need for a real regulating entity that really looks out for the borrowers, not the lenders.

      Thanks so much for stopping by and checking out our services!

      Shawn>>

  17. This is a classic example of a predatory loan, where the giver preys on the borrowers taking advantage of their poor state to offer them a high-interest short-term loan. Taking a short-term high-interest loan is quite risky, but one would be left with no choice if there is an emergency. Fast forward, legislators in states like Mississippi where these Payday Loans companies are having a field day needs to come up with regulatory laws that would provide checks and balances to their exploitation.  

    1. We do agree with you on the state mandating regulations but we fear the lobbyists will never let it get that far as sad as that may seem.

      All we can do is try to educate people and help the ones who get in trouble.

      Thanks for stopping by!

      Shawn>>

  18. Thanks for this excellent article. Unfortunately, there is no real knowledge about it. This is a very illuminating article on a payday loan. I am going to advise this post to some of my colleagues in Mississippi as well. Anyway in my opinion, I don’t like to use these loans except in case of emergency.

    1. Hi Fabio!

      I am glad you do not use them and please do refer us to anyone in the USA who may need our help!

      Shawn>>

  19. Hey! Thanks for sharing this wonderful article on payday loan, I appreciate you taking time and breaking it all down for us. This is a very informative and educative article on payday loan.
    I will be checking here for more articles like this. Again, thanks for sharing this article. Thanks for building this website and investing your time. It’s a great site.

  20. it’s good to know that Mississippi and payday loans go hand in hand. I for one am having a hard time obtaining loans from where I reside and I will like to maximise this opportunity afforded by Mississippi. 

    The biggest problem with obtaining a loan in my state is how high the interest rates are. 

    1. Yes, using these loans does come at a high cost as far as interest goes, but as long as you pay it off on the first due date in full you should be fine.

      Shawn>>

  21. I never take out these types of short term high interest loans unless I need for some kind of emergency, like medically or to get a car fixed. However I do know a low income friend who takes out these loans, not sure what he uses the money for but probably for food and alcohol.

    I do have a better understanding now about predatory loans and how they target certain types of people, but that’s capitalism in a sense that it’s main goal is profit at the expense of other’s hardships as you say.

    1. Yes, that can be one way to use capitalism, but I would much prefer not taking advantage of people to this extent.

      I am glad you do not use these loans except in case of emergency, and please know if you ever do need help we will be here for you!

      Shawn>>

  22. I really appreciate how you help people try to eliminate their payday loan debt. This is a very good service and you explain all the facets of payday loans in mississipi and how loans work differently there. So if you could live in another state based on how loans work which state would you live in?

    1. Hi, Jon!

      That is a very good question and I do not think I have ever thought about that one!

      I suppose I would love a state that did not have any taxes, LOL

      Shawn>>

  23. Supporters of payday loan in mississipi believe that the availability of these loans help those in need because when an emergency arises they have no place to turn to get a short term cash so they end up going to payday loan store. Though i am reading something like this for the firest time, thanks to this site and it’s a thought out well business plan to create huge profit at people’s hardship. It may sound weird buy that’s the primary aim of every business  ( to make money)

    1. Hi, Destiny!

      Yes, every business needs to have a plan that makes them profitable, but it should be within reason and not be the cause of hardship to the customers.

      Thanks for stopping by!

      Shawn>>

  24. This is a highly informative and useful article my friend.

    I live in Canada so the rules for loans are a little different for me. However, I live paycheck to paycheck and so does my husband. We have never taken out a loan because like you helpfully stated in your article- we would be taken advantage of. I have debt to pay off on my credit card and that’s had enough!

    This article will be helpful to a lot of people for helping them relalise what is fully involved in taking out a loan and that something should be being done for those who need financial help.

    Have you ever had to take out a loan? I know my parents have.

    Keep up the great work!

    1. Hi!

      Yes, everyone here at Help With Payday Loan Debt have had our own bad experiences with these loans and we know what that feeling of helplessness is!

      We hope our articles do help people be more informed and we hope even more that they are informed before they use the service!

      Shawn>>

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