Payday Loans Alternative

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Payday Loans for many debtor’s put the borrower on a downward spiral of never ending debt.   And these loans are popular:

An estimated 2.5 million American households ― about one in 50 ― take out payday loans every year. A typical loan is $350 and costs $15 for each $100 borrowed. Given that more than 80 percent of payday loans are rolled over, or are followed by another loan within two weeks, it’s not hard to see how some of America’s most financially insecure can get trapped in debt indefinitely. A New Type Of Bank Offers A Lifeline For Those Trapped In A Vicious Cycle Of Debt | HuffPost

However, with many families living paycheck-to-paycheck, the payday loan can be the only means for a debtor to avoid eviction or losing a job because they can’t afford to fix a broken car.  These lenders count on this desperation and prey on debtors and, up until recently, the payday lenders have had no competition as lenders who are forced to take payday loans most likely have very poor credit and are unable to qualify for even a high-interest credit card.  Luckily,to the chagrin of the pay day loan industry, their are now alternatives the costly payday loans.  These alternatives are the credit union.   Credit unions are different from traditional banks in that:

Like banks, credit unions offer checking, savings and loan services. But unlike banks, which primarily serve shareholders, credit unions are nonprofit entities set up by members and governed by a volunteer board. Importantly, they generally charge discounted loan rates and lower fees than traditional banks. A New Type Of Bank Offers A Lifeline For Those Trapped In A Vicious Cycle Of Debt | HuffPost

One such credit union in Las Vegas is Silver State Credit Union (I am making no claim positive or negative concerning this credit union)  who offers personal lines of credit for unforeseen emergencies.  Ideally, you need to have savings to deal with unexpected emergencies. But, for many families, this is just not realistic. So, before you take out an exorbiant payday loan shop around and see if their are any local credit unions who can loan you money.