The Latest Payday Loan News: New Payday Loan laws Announced


payday loan newsThe latest payday loan news to come out is the new payday loan laws that will be taking effect involving how payday lenders grant payday loans.

While this is a step in the right direction it is still weak on protecting borrowers.

Let’s take a look at this new law and see what it is trying to accomplish!

[Are you in need of help with payday loan debt? Click here to see how we can help you!]

Lacking In Protection


The new law is an attempt to protect borrowers from getting caught in the payday loan trap.

While many experts say it is not enough to really help the borrowers and the fact that it will not go into effect for two years really makes this change pretty much a non-issue for the immediate future.

The payday loan industry makes huge amounts of money off of these loans and while they claim there is a demand for this type of credit and they are just supplying that demand, most experts agree that the rules need to be changed to protect the borrowers from themselves.

The way the laws are now most anyone who has a job and a checking account and make at least $800.00 a month can take out a payday loan.

As long as this borrower pays back their loan in full on their first due date all is good.

While the borrower will have paid a huge amount of interest for their loan it will be done and over with.

This kind of situation rarely happens as things come up.

All of a sudden the borrower can not make the one-time payment and ends up extending their loan or even taking out another one to cover the payment of the first loan.

Before they know what is happening they are in serious financial trouble.

This change in the law was meant to avoid the above scenario but it lacks in that it will not even be enforceable for two years due to the power of the lobbyists for the payday loan industry, who managed to get this delay put into this law.

The New Laws


We thought it best to go ahead and share with you the actual release of these changes.

You can check out the new laws by visiting the Consumer Finance PDF.

This PDF explains all the changes and the intent of those changes and when they take effect.

Summary


It is our hope that this helps you understand the newest payday loan news and what to expect or not to expect if you should decide to take out one of these loans.

If you do decide to use these services we would like to share with you our advice on How To Use Payday Loans

This article will explain the only safe way to use payday loans and everything to look out for when dealing with these companies.

We would like to keep you up to date on any and all news that involves payday loans so be sure to bookmark this site for future reference!

We want to hear from you!

If you have any questions please leave us a comment below and we will be glad to answer them for you!

[Are you in need of help with payday loan debt? Click here to see how we can help you!]

8 thoughts on “The Latest Payday Loan News: New Payday Loan laws Announced”

  1. Hi Shawn… Thank you for the down and dirty on these loan sharks! I think it is terrible how they take advantage of people when they are at their lowest. I have never had to use a payday loan, and I hope I never will, but if I do, it’s nice to have all of the facts. Thank you again for the knowledge!

    Clay

  2. Dear Shawn,

    This is such a great idea. Truthfully, I have gotten payday loans and they are hard to pay back. The thing is if you need a payday loan, you can’t afford it. I know many people caught in this trap. I will definitely tell them about this site. The law was a little hard to understand but from what I got from the six page PDF is that this law doesn’t really protect the consumer. I think these types of loans should be outlawed.

    Shannon

    1. Hi, Shannon!

      Thanks for stopping by and leaving us a comment!

      I agree, the essence of the law is really to protect the lender and that is just not right.

      We will keep helping people until we run out of clients, lol.

      Send your friends over and we will help them get rid of their payday loan debt!@

      Shawn>>

  3. Hi Shawn,

    I have never borrowed from a payday loan and I will never do so through the stories heard from those that were caught in the never-ending debt trap. These are the unfortunate people that have nowhere to turn to in order to support themselves or their families. It is wrong for Payday loans to perform this practice and it should be illegal. I understand from the new law that you mentioned it is in the right direction in helping the individuals from becoming further indebted but it is still weak. I know that there can be more done to help those in need and to enforce payday loan providers in regards to their lending. The advocacy has to be heard and to educate those on how to come up with a budget; use payday loans responsibly. There is nothing wrong with payday loans as long as the amount borrowed is payed on time. Great article and informing everyone of regulations being put towards payday loans.

    Sam

    1. Hi, Sam!

      Thanks for checking out the article and your great insight on it.

      I agree more needs to be done to educate and to regulate.

      Help spread the word that we are here to do just that!

      Shawn>>

  4. From my understanding, the new laws make it so you can’t take out another payday loan to cover the cost of the first one? Is that correct? I’ve never had to consider taking out a payday loan in the first place, but it’s always nice to stay up to date on things and learn something new.

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