Payday Loans in Abell, Maryland

Payday Loans in Abell, Maryland – What You Need to Know

If you reside in Abell, Maryland, you may have considered obtaining a payday loan to deal with immediate financial needs. However, payday loans are a prohibited type of loan in the state of Maryland. It is important to understand the legalities surrounding payday loans and the alternatives available to you.

What are Payday Loans?

Payday loans are a short-term form of lending designed to get borrowers through to their next paycheck. They are considered quick cash loans as they are typically due on the borrower’s next payday. They are typically small amounts, usually ranging between $500 and $1000, with high-interest rates. Many people turn to payday loans when they are in immediate financial need, such as unexpected medical bills or car repairs.

Why are Payday Loans Prohibited in Maryland?

Maryland law prohibits payday lenders from operating in the state. The state’s Commissioner of Financial Regulation, through the Maryland Consumer Protection Division, took action to prevent payday lending in the state to protect consumers from the high-interest rates and fees that come with payday loans. The APR of payday loans can reach up to 300% or higher, making it difficult for borrowers to pay back the loan.

What are the Alternatives?

If you are in immediate financial need, there are several alternatives to payday loans available to you. One option is to consider a personal loan from a credit union or bank. Personal loans often have lower interest rates than payday loans and longer repayment terms, making them more affordable for borrowers. You can also consider borrowing from friends or family or seeking assistance from local non-profits that offer emergency financial aid.

• Consider a personal loan from a credit union or bank
• Borrow from friends or family
• Seek assistance from local non-profits that offer emergency financial aid

Interesting Facts and Statistics About Payday Loans in Maryland

• Payday loans were prohibited in Maryland in 2002.
• The average payday loan in Maryland in 2018 was $406 with an APR of 527%.
• In Maryland, payday loan companies skirted the state’s interest rate cap by partnering with out-of-state banks to offer loans to Maryland residents.
• In 2015, Maryland residents paid an estimated $126 million in fees to payday lenders.

Apply Now

While payday loans are prohibited in Maryland, if you are in need of immediate financial assistance, TheGuaranteedLoans can help connect you with lenders who may be able to assist you. We are a loan connection service and can match you with potential lenders for payday loans, personal loans, and other financial services. Simply fill out our online application to get started.

Note: TheGuaranteedLoans is a connector service and not a direct lender. We do not make credit decisions or provide personal loans directly.

Conclusion

While payday loans may seem appealing when in need of immediate financial assistance, it is important to understand the risks that come along with them, especially in states where they are prohibited. It is always advisable to consider alternatives when seeking financial assistance. In Maryland, there are several options available that can offer more affordable and safer lending options.