Payday Loans in Lyndora, Pennsylvania

Payday Loans and its Prohibition in Lyndora, Pennsylvania

If you’re considering a payday loan in Lyndora, Pennsylvania, it’s important to understand the laws and regulations surrounding them. Unfortunately, payday loans are prohibited in Pennsylvania, including in Lyndora.

Payday loans are short-term, high-interest loans that are advertised as a quick fix for people who need money before their next payday. These loans typically come with high fees and interest rates, making them difficult to pay back for borrowers.

Payday Loan Regulations in Pennsylvania

The Pennsylvania Department of Banking and Securities enforces the state’s ban on payday loans. Under the Check Cashers Licensing Act, cash advance companies and other non-bank lenders are prohibited from lending money on a postdated check, which is the primary method used by payday lenders.

In addition, the state’s Consumer Discount Company Act prohibits lenders from charging an annual percentage rate (APR) above 6% for loans under $50,000. Payday lenders typically charge APRs well above this limit, making them illegal in Pennsylvania.

The Dangers of Payday Loans

While payday loans may seem like a quick fix for unexpected expenses, they can lead to a vicious cycle of debt. According to a report by the Consumer Financial Protection Bureau, four out of five payday loans are renewed or rolled over – meaning borrowers take out a new loan to pay off the old one, racking up more fees and interest in the process.

Payday loans can also have a negative impact on credit scores, making it difficult for borrowers to obtain other forms of credit in the future.

Interesting Facts and Statistics about Payday Loans

• The average APR on payday loans nationwide is 391%, according to the Consumer Financial Protection Bureau.
• In 2019, 12 million Americans used payday loans, according to the Pew Charitable Trusts.
• Payday loans trap borrowers in a cycle of debt, with the average borrower taking out eight loans of $375 each per year, according to the Center for Responsible Lending.

Apply Now with TheGuaranteedLoans

While payday loans are illegal in Pennsylvania, unexpected expenses can still arise. If you need money quickly for an emergency expense, TheGuaranteedLoans can help connect you with potential lenders who may offer alternative loan options.

Our online application process is quick and easy, and our service is completely free to use. Remember, we are a connector service and not a direct lender. We work with a network of trusted lenders who may offer a variety of loan options, including installment loans and personal loans.

To get started, simply fill out our online application and we’ll work to connect you with a potential lender. Even if you have bad credit, our lenders may still be able to work with you. Don’t let unexpected expenses leave you in a financial bind. Apply now with TheGuaranteedLoans and get the help you need.

Disclaimer

Please note that the information provided in this article should not be construed as legal or financial advice. It is for informational purposes only. Before taking out any loan, it’s important to do your research and understand the terms and conditions of the loan. If you have questions or concerns about the legality of payday loans in your state or any other financial matter, consult with a licensed professional.