Payday Loans in Columbia Cross Roads, Pennsylvania
Payday loans are prohibited in the state of Pennsylvania, including in the small town of Columbia Cross Roads. While these loans may offer fast cash with no credit check, the high fees and interest rates can trap borrowers in a cycle of debt.
What are payday loans?
Payday loans are short-term loans typically issued for two weeks or until the borrower’s next payday. Borrowers often must provide the lender with a post-dated check or authorize an electronic withdrawal for the loan’s total balance, including fees and interest. Since these loans are usually targeted to those with low income or poor credit, they often come with high fees and interest rates that can accumulate quickly.
Why are payday loans prohibited in Pennsylvania?
Payday loans are prohibited in Pennsylvania due to the state’s strong consumer protections laws. The Pennsylvania Attorney General’s office website provides consumers with resources to help protect them from predatory lenders. These resources include information on how to file a complaint with the office and how to identify and avoid scams.
Payday loan alternatives
While payday loans may offer fast cash, there are other options available to borrowers in need of funds. These options include:
- Personal loans: Personal loans can be obtained through banks, credit unions or online lenders. These loans typically have lower interest rates than payday loans and can be repaid over a longer period of time.
- Credit counseling: Credit counseling services can help borrowers create a budget, develop a debt repayment plan, and negotiate with creditors to lower interest rates or fees.
- Credit cards: If used responsibly, credit cards can be a cheaper alternative to payday loans. Many credit cards offer lower interest rates for those with good credit and rewards programs can provide cash back or other perks.
Interesting Facts and Statistics
- In 2016, 12 million Americans paid approximately $9 billion in fees for payday loans.
- The average payday loan borrower takes out 10 loans per year.
- In 2018, the Pennsylvania Attorney General’s office received over 1,500 complaints about loans, including payday loans.
Apply Now
If you are in need of funds, consider the alternatives to payday loans listed above. And if you do decide to seek a loan, remember that TheGuaranteedLoans is a connector service that can help connect you with potential lenders. We are not a direct lender and do not make credit decisions. To apply for a loan, simply fill out our online application and we will work to connect you with a lender that meets your needs.
At TheGuaranteedLoans, we believe in responsible lending. We encourage you to borrow only what you can afford to repay and to read the terms and conditions of any loan offer carefully before accepting.