Will Greater Restrictions on Payday Loans Help the Ten Million Americans Who Want Them?
Barring those who actually use payday loans everyone else seems to hate them because of their extremely high rate of interest.
The federal regulators are making serious efforts to curb the role of payday lenders and last week they took a step to protect consumers, which was the first step ever ill now. But many experts opine that this move could be a huge blow for the industry and according to the payday trade association, "thousands of lenders" would be forced to "shutter their doors."
Just by watching numbers it can be guessed that about ten million Americans who use payday loans in one year, want to gain access to those so called predatory loans. The Consumer Financial Protection Bureau is bringing in new rules that will curb much of the access to payday loans. The head of the CFPB says he expects the new ruled to stop about eighty four percent of the current market.
Everyone does not think that curbing the payday loans will help those consumers who use it because they will have worst options without the money available when they really need it. There would be more chances of checks bouncing, added number of people would face harassment in hands of debt collectors and it's likely that number of debtors filing for Chapter 7 bankruptcy will be on the rise.