Exploring Payday Loans in Granville Summit, Pennsylvania
If you find yourself in need of extra cash to cover unexpected expenses, payday loans may seem like an attractive option. However, it’s important to know that payday loans are prohibited in Pennsylvania, including in Granville Summit. In this article, we’ll explore why payday loans are not available in Granville Summit, what alternatives are available, and provide you with other helpful information.
Why are Payday Loans not Available in Granville Summit?
In 2018, the Pennsylvania Attorney General’s Office issued a statement urging payday loan customers to be cautious when considering these types of loans. The statement mentions a court case where one payday lender attempted to circumvent the state’s consumer protection laws by partnering with an out-of-state bank. The court ultimately ruled that this “rent-a-bank” scheme could not be used in Pennsylvania.
This ruling highlighted the state’s Consumer Discount Company Act, which limits the amount of interest and fees a lender can charge on a loan. Payday loans typically carry extremely high interest rates that would violate this law, making them illegal in the state of Pennsylvania.
Alternatives to Payday Loans in Granville Summit
Thankfully, there are other options available for those in need of financial assistance. Here are a few alternatives to payday loans:
Personal Loans: Banks, credit unions and online lenders offer personal loans that can be used for a variety of purposes, including unexpected expenses. Personal loans typically have lower interest rates and longer repayment terms than payday loans, making them a better option for borrowing money.
Credit Cards: If you have a credit card, you may be able to use it to cover unexpected expenses. While credit cards can also carry high interest rates, they often have more manageable repayment terms than payday loans.
Local Assistance Programs: If you are struggling financially, you may be eligible for assistance programs offered by non-profit organizations, community groups, or local government agencies. These programs could offer help with rent, utilities, or food assistance.
Interesting Facts and Statistics
– According to the Pennsylvania Department of Banking and Securities, payday loans are illegal in the state and consumer protection laws are in place to prevent abusive lending practices.
– In 2016, the average payday loan term in Pennsylvania was 14 days, and the average loan amount was $375.
– The average payday loan borrower in Pennsylvania takes out eight loans per year, spending an average of $520 on fees alone.
Apply Now
If you are looking for assistance with unexpected expenses, TheGuaranteedLoans can help. We are a connector service that works with a network of potential lenders who may be able to help you secure a personal loan. Fill out our simple online application form to get started. Keep in mind that we are not a direct lender and cannot guarantee loan approval, but we will work to connect you with potential lenders who may be able to assist you.
Conclusion
While payday loans may seem like a quick and easy solution to financial problems, they are not an option in Granville Summit or the rest of Pennsylvania. Instead, consider alternative options like personal loans, credit cards, or local assistance programs. Remember to always read the fine print and understand the terms and conditions before agreeing to any type of loan. When in doubt, seek the advice of a financial professional who can help guide you towards the best option for your needs.