Unlicensed lenders often use abusive debt collection practices. They threaten you, harass you, reveal your debt to third parties, try to get you fired or file civil suit against you in small claims court. Read more ›

Think carefully before you stop payment on a payday loan check. It can incur expensive fees. If the lender sends your account to collections, it will harm your credit rating. Read more ›

Faxless payday loans are convenient for people who don’t have access to a fax machine. This convenience comes at a price. ‘No fax’ loans tend to be slower, more indiscrete and may expose your personal info. Read more ›

If you have an outstanding balance on your credit card, paying off half the principle will reduce monthly interest fees significantly. If you have an outstanding payday loan with an unlicensed lender, on the other hand, it’s all or nothing. They won’t accept partial payment. Read more ›

Online lenders don’t have physical access to your identification and other documents so they ask for a lot of personal info – much more than they’d need if you were applying in person. This can put your personal info at risk. Read more ›

Unwanted commercial messages are one side-effect of using illegal, unlicensed payday loan sites. After signing up for a payday loan on a rogue website, some people experience an increase in unsolicited commercial e-mail and telemarketing calls. Read more ›

Payday loans do not help your credit rating. Paying them back on time does nothing for your FICO score. Failing to pay them back, however, can harm your credit rating. Read more ›

When you sign for a payday loan, you may be signing away significant legal protections. Many payday loan contracts include arbitration clauses that try to keep you from filing a lawsuit in a court of law. Read more ›

The debt treadmill is when you have only enough income to pay off the interest on your loan but not the principle. It’s a pitfall of payday loans as well as credit cards. How do you get on the debt treadmill? Let’s do the math. Read more ›

“The Month After” is a common pitfall of payday loans. When you repay the loan on your next paycheck, will you have enough money to survive the following month? Let’s do the math. Read more ›