If you reside in one of the following states then the government believes they know what is best for you and you are completely incapable of making an educated decision on your own regarding what's best for your family.
- New Jersey
- New York
- North Carolina
- West Virginia
Although payday loans typically involve interest rates that can range from 100% - 1,000% the majority of these loans do get paid back as soon as the consumer gets paid exactly like the name suggests. Therefore, the damage done from the interest rate charged is minimal. However, this does not stop liberals from capping interest rates on these loans and therefore eliminating payday loans completely in 13 states.
When a consumer needs a loan in an emergency situation the first place most consumers will go to is their bank. However, for those consumers with bad credit a bank may be unable to lend any money. The only other option to get some quick money is typically through payday loans. When the loan is taken out the borrower provides their banking information so that the loan will be repaid through electronic payment. In return the borrower gets the money they are in need of on the spot. The borrower can decide to repay the entire loan on their next payday (the smart choice) or defer their payment to a later date which is typically not a good idea due to the high interest rates.
In the end, as long as a company is being fully transparent with the rate and fee details this transaction should be allowed to happen. When two parties form an agreement that is in no way harming anyone else they should have the freedom to carry out that agreement without the government denying them their freedom to do so. The problem here is that the egotistical liberals think they know what is best for each American family. The next time you need to make an important decision for your family don't talk it over with your family because the omnipotent liberals are going to make that decision for you. Just remember, YOU KNOW NOTHING!
Live & Let Live.