Payday Loan Alternatives in South Sterling, Pennsylvania:
Payday loans have been banned in Pennsylvania since 2010, but that doesn’t mean residents of South Sterling don’t experience financial hardship. In fact, according to a study by the Urban Institute, nearly one in five Pennsylvanians live in poverty. While payday loans are not an option, there are still alternatives that can help get you through tough times.
Credit Union Loans
Many credit unions offer small-dollar loans with lower interest rates and fees than traditional payday loans. In addition to credit unions, many community-based organizations and non-profits offer alternative lending programs that can help you bridge the gap in times of need. These programs typically have more flexible repayment terms and may even offer financial education and counseling services to help prevent future financial difficulties.
Personal Loans
If you have good credit, a personal loan from a bank or online lender may be a better option than a payday loan. Personal loans are typically unsecured, which means you don’t have to put up collateral to secure the loan. While personal loans may have higher interest rates than payday loans, they are usually much lower than the triple-digit APRs that payday lenders charge. Additionally, personal loans come with a fixed repayment term, which can help you avoid the revolving debt cycle that often occurs with payday loans.
Credit Cards
If you have a credit card with an available balance, using it for unexpected expenses can be a cheaper alternative to payday loans. While credit card interest rates can be high, they are typically much lower than payday loan rates. Additionally, credit cards come with a grace period, which gives you several weeks to pay off your balance before interest starts accruing.
National Banks and Credit Cards
If you have a relationship with a national bank or credit card company, you may be able to take advantage of their emergency loan or hardship programs. These programs typically offer loans with lower interest rates and fees than payday loans, and may also offer additional services like financial counseling.
Interesting Facts and Statistics about Payday Loans in South Sterling, Pennsylvania
- While payday loans are illegal in Pennsylvania, many borrowers still seek them out online or in neighboring states.
- In 2018, the Pennsylvania Attorney General’s Office filed a lawsuit against a payday lender for violating state lending laws and charging rates as high as 769% APR.
- A 2019 study by the Pew Charitable Trusts found that borrowers who take out payday loans are often caught in a cycle of debt, with 80% of payday loans being rolled over or followed by another loan within 14 days.
- According to a 2019 report by the Consumer Financial Protection Bureau, payday lenders disproportionately target minority and low-income communities.
Apply Now
While TheGuaranteedLoans does not offer payday loans, we can help you find alternative lending options. As a connector service, we work with a network of trusted lenders who offer personal loans, installment loans, and other financial products. To get started, simply fill out our online application and we’ll match you with a lender who meets your unique needs.
Remember, before taking out any type of loan, be sure to carefully review the terms and conditions to ensure you can afford the payments and understand all of the fees and charges associated with the loan. And if you’re struggling with debt, seek out free or low-cost financial counseling services to help you regain control of your finances.