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March 30, 2007, Newsletter Issue #58: Uses for Payday Loans
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Tip of the Week
Depending on who you talk to, payday loans are being used for everything from buying new TVs to paying for basic needs such as food and medicines. According to the Community Financial Services Association of America, a trade group for payday lenders, the typical payday loan applicant is in his mid-thirties, employed, with a household income in the mid-thirties and use their payday loans to cover unexpected expenses, bridge short-term cash needs, avoid bounced check fees, late payment penalties, or pawning personal possessions. Since there are no restrictions on the uses of the money loaned, borrowers really can use the money for anything.
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