Payday Loans in Hobgood, North Carolina
If you’re looking for a quick cash fix in Hobgood, North Carolina, payday loans might appear to be an obvious choice. However, payday loans are prohibited in North Carolina, making it difficult for residents to access this type of lending option.
What are payday loans?
Payday loans are a short-term financial product where borrowers can borrow small amounts of money, typically up to $500, for a period of one to four weeks. The borrower is expected to pay back the loan on their next paycheck, usually with interest and fees.
Why are payday loans prohibited in North Carolina?
In 2001, North Carolina became the first state in the United States to prohibit payday loans. The state’s Attorney General, Roy Cooper, led a campaign against these loans due to the high interest rates and fees, which were often in excess of 400% APR. According to Cooper, these loans were “financially devastating” to consumers, often trapping them in a cycle of debt.
What are the alternatives to payday loans in Hobgood, North Carolina?
Fortunately, there are alternative lending options available in Hobgood, North Carolina. The following options are available for individuals who need quick cash without resorting to payday loans:
Installment Loans
Installment loans are an alternative to payday loans, offering borrowers a longer repayment period, usually spread over several months or even years. These loans offer higher loan amounts, typically up to $5,000, and lower annual percentage rates (APR) than payday loans.
Personal Loans
Personal loans are a popular option for individuals who need to borrow larger sums of money, ranging from $1,000 to $100,000 or more. These loans offer a fixed repayment term, usually ranging from 12 to 84 months, with lower interest rates than credit cards.
Credit Unions
Credit unions are member-owned financial institutions that offer loans with low interest rates and fees. These loans are usually available to members only, but many credit unions allow anyone to join by making a small donation to a charity or non-profit organization.
Apply Now
If you need financial assistance in Hobgood, North Carolina, TheGuaranteedLoans can help you find a lender. We are a connector service, not a direct lender, which means we connect borrowers with potential lenders who can provide installment loans, personal loans, and other types of lending products.
Simply visit our website and fill out our online application form. We’ll process your application and forward it to our trusted lenders, who will review your information and contact you directly if you meet their lending criteria.
Interesting Facts and Statistics
According to the Center for Responsible Lending, payday loans cost Americans $4.1 billion annually in fees.
Approximately 80% of payday loans are rolled over into new loans because the borrower cannot afford to pay back the original loan.
In North Carolina, the average payday loan APR was 391% in 2019.
Conclusion
Payday loans are prohibited in North Carolina, but there are alternative lending options available. TheGuaranteedLoans can help you find a lender who can provide you with a loan that meets your financial needs. Remember to always read the terms and conditions of any loan before agreeing to borrow money.