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Fast Details About Payday Lending. PAYDAY LENDING RESULTS IN LONG-TERM DEBT TRAP

Fast Details About Payday Lending. PAYDAY LENDING RESULTS IN LONG-TERM DEBT TRAP

Listed here are some fast details about the payday financing industry in Louisiana, published by LBP analyst David Gray.

  • Based on industry representatives, payday financing is made to trap borrowers in long-lasting rounds of financial obligation:

“The concept in the industry is that you’ve got getting that customer in, work to turn him in to a customer that is repetitive long-lasting client, because that’s really where in fact the profitability is. ” – Dan Freeman, CEO of money America

“In a situation by having a $15 per $100 price, an operator… will require a brand new client to sign up for 4 to 5 loans before that client becomes profitable.

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