How much longer will payday loans be allowed in Virginia?

The future is uncertain for an industry that some consumer advocate groups feel are preying on people in financial trouble. On the other side of these consumer groups is a well organized and heavily funded group of lobbyists in favor of payday loans. With the economy currently under scrutiny by lawmakers, some people are wondering if the time has come for the Federal Government to re-implement Federal usury laws that were abolished during the Depression.

Each state has its own set of usury laws, whether these laws limit the amount of interest that can be charged on loans or not. Over the last decade the rise in companies providing payday loans have pushed the limit on all of these laws. Some states have passed safe harbor laws for payday lenders, but others are still debating if payday loans are good for consumers or if these loans are just a burden on low income individuals.

The fight over predatory lending has gained steam in recent months due to the current recession, which has caused many in D.C. to consider legislation to impose federal standards and interest rate caps on all types of loans. So far 13 states and the District of Colombia have passed laws that either outlaw payday loans or cap their interest rates so low that providers cannot make enough money to make it viable.

To further put an end to payday loans the Federal Government took steps to protect members of the military from getting in over their heads with these loans. Currently, Congress is considering several bills that would cap interest rates at 36%. This cap would effectively end payday loans and could also save some people money on their credit cards.

Virginia passed legislation that was intended to protect consumers that use payday loans from unfair lending practices. The law also requires that lenders use an Internet database to ensure that consumers do not take out too many of these loans at one time. The new laws have only completely gone into effect at the beginning of the year, but some feel that there are too many loopholes that make the law ineffective.

As the debate continues in each state, many feel that the fight will only be resolved on a federal level. Some politicians like Terry McAuliffe are calling for an all-out ban on payday, car-title, open ended, and cash advance loans, all of which carry triple-digit interest rates. Hopefully everyone involved in this debate can come to an agreement that will not only protect consumers, but will also make payday loans safe for those that need easy short-term financing.… >>

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Payday loans

There are many types of loans. Some loans require your greater understanding to know its category. But others like payday loans, which are generally small loans, suggest the meaning of its type by its mere name; they are designed to tide employees over until their next payday. Fees coupled with payday loan depend upon its size of borrowing and your credit history. The fund for this short-term loan is available within 24 hours and deposited into your bank account directly or provided in cash. But if your agreed repayment period is over, the entire sum of this small loan is taken from your bank account along with the lenders service fees.

Eligibility Criteria For Payday Loans

Payday loans have such low eligibility criteria that even a customer with county count judgments (CCJs) or bankruptcy will not have problems. You can expect a charge of around $25 per $100 borrowed as fees by some firms. But mind you, if you fail to repay the loan on time, additional interest might be charged.

Despite these benefits, a payday loan might be a very expensive form of borrowing, compared to credit cards, where on $350 borrowed for a month, you pay an interest of only around $8 and nothing the next month if you clear your card in full. But a payday loan might charge you a fee of $87.50, a staggering difference.

Payday Loans Without Interest For anyone opting for a loan for the first time, getting a little anxious is normal. The most common doubt a first time loan applier come across is whether they will get the cash before they earn it.

It is their responsibility to check or else they might land up in trouble. So it’s best to start with a small loan amount. So, a first time borrower should find a lender offering an interest free loan. In this case, you pay back exactly the same amount you borrowed and nothing more. You become debt free as soon as you get your next paycheck.

Alternatives To Payday Loans

You should consider a few things before opting for a payday loan, like when do you want the loan, the APR (annual percentage rate), is it suitable etc. In fact, you can opt for a small loan from your credit union or small loan company, or you can ask for an advance payment from your boss, family or friends.

Comparing the APR and the finance charges including loan fees, interest and credit costs is essential to choose the loan with the lowest cost. Also clear doubts regarding late charges, finance charges or interest rates.

To pay off the payday loan in time, avoid being extravagant. Keep a check on your daily and monthly expenditure; don’t spend money on unnecessary things.

Try to save even small amounts and stop borrowing, not even a single penny.


Payday loans aren’t as big as personal or home loans.

But these small loans are easily returnable and a simple way of getting cash in advance. You get the required amount even without going through a credit check or waiting for approval on your small cash loan.… >>

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Fax-free payday loans

Payday loans are loans meant for emergencies. It is very simple; everyone gets short of cash sometime or the other. It gets worse when one has to face embarrassment due to non-payment of some bill or debt because of the financial crunch that you know would not be there once you receive your paycheck. This problem is sorted out by payday loans.

A payday loan is a cash source that helps you when you need it most, until you receive your paycheck. The previous application criteria for payday loans were to fax documents. Fax was the fastest means to give in your documents and wait for the reply from the other end. This took up a lot of time.

With no fax payday loans, there has been a drastic change in the situation. The process of applying for, and receiving a payday loan, is less time consuming and simpler. You can now receive money from $100 to $1000 in a matter of hours.

A no fax payday loan can be directly wired to you or deposited in your account in 2 business days. The formalities or documentation process is taken care of online. People with bad or no credit can also apply for a payday loan.

In the case of the no faxing payday loans you do not even need to submit your paycheck in advance because the amount of the loan is low. But in case the loan amount is more than $500 then a check needs to be deposited.

The payday loan has to be returned as soon as you receive your paycheck. These no faxing payday loans have a high interest rate and they have a nominal fee on them as well.

All you need to submit at the time of applying for a payday loan online is a proof of your employment and your drivers’ license. A post-dated check for security is also required for deposition. The amount inclusive of the loan’s interest and fee is taken from the borrower’s account when the payment is added in the account.

There are many national banks that have their separate payday loan divisions. They lend money to the customers who already have an account with them.

There is also a provision for the extension of the repayment of the amount of payday loan, if requested. So, it is easy to avail the loan in a short period of time and returning it is also not a problem, when you know that your paycheck can be used to pay it off.

The no fax payday loan is a loan that solves your financial problem in a matter of a few minutes. Conventional use of the fax machine can be discontinued in case of online payday loans. There are no hassles of paperwork and payment of bills on time. Even bad credit has nothing to do with your eligibility for the payday loan.

So, if you are looking for cash advances or transfer of balance in your account, the easiest way is to log on to the Internet and apply for a payday loan. It is more convenient to take a no faxing payday loan than loans from the conventional lenders, as the process is faster and lesser documentation is required.… >>

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