Fontana, Wisconsin, is a small town located about 60 miles west of Milwaukee and 12 miles north of the Illinois border. With a population of around 1,500 people, Fontana may seem like an unlikely place to find payday lenders. However, payday loans are legal in Wisconsin, and Fontana is no exception.
What Are Payday Loans?
Payday loans are a type of short-term loan that is typically due on the borrower’s next payday. They are typically used to cover unexpected expenses or emergencies when the borrower is short on cash. Payday loans are often advertised as a quick and easy way to get cash when you need it.
The amount borrowed for payday loans is usually small, ranging from $100 to $1,500, with loan terms of two weeks to a month. Lenders typically charge high interest rates and fees, making payday loans one of the most expensive forms of credit available.
How Payday Loans Work in Wisconsin
In Wisconsin, payday loans are legal, but they are regulated by state law to protect consumers. Wisconsin law caps the amount of payday loans at $1,500 or 35% of the borrower’s gross monthly income, whichever is less. Lenders are also required to disclose all fees and interest rates in advance, and the loan term must be between 14 and 90 days.
In addition, Wisconsin law requires lenders to offer an extended payment plan to borrowers who are unable to repay their loans on time. This allows borrowers to repay the loan in installments over a longer period of time, rather than in one lump sum.
Interest Rates and Fees
Lenders in Wisconsin are allowed to charge up to 15% of the loan amount in fees. For example, if you borrow $500, the lender can charge up to $75 in fees. In addition, lenders can charge up to 537% APR (annual percentage rate) on payday loans in Wisconsin.
It’s important to note that the high interest rates and fees associated with payday loans can quickly add up, making it difficult for borrowers to repay the loan on time. In fact, according to a study by the Consumer Financial Protection Bureau, the average payday loan borrower in Wisconsin takes out eight loans per year, with the average loan size of $400 and an average fee of $50 per loan.
Apply Now
If you’re considering a payday loan in Fontana, Wisconsin, TheGuaranteedLoans can help. We are a connection service that can help connect you with potential lenders. Our online application process is quick and easy, and we provide access to a large network of lenders, increasing your chances of finding the right loan for your needs.
Remember, it’s important to only borrow what you can afford to repay and to read all loan terms and conditions carefully before agreeing to a loan. Payday loans are expensive and should only be used as a last resort.
Interesting Facts about Payday Loans in Fontana, Wisconsin
- Fontana, Wisconsin is home to several payday lenders, including Advance America, Cash Store, and Check ‘n Go.
- According to a report by the Wisconsin Department of Financial Institutions, there were 1,239 licensed payday lenders in Wisconsin in 2019.
- Wisconsin law requires lenders to check a borrower’s credit history before issuing a payday loan, but there is no minimum credit score required.
Conclusion
If you’re considering a payday loan in Fontana, Wisconsin, it’s important to understand the risks and costs associated with these loans. While payday loans can provide quick cash in an emergency, they come with high interest rates and fees that can trap borrowers in a cycle of debt.
At TheGuaranteedLoans, we’re committed to providing our customers with access to a large network of lenders and helping them make informed borrowing decisions. If you’re in need of quick cash, visit our website and fill out our online application today.