BATON ROUGE – Payday loans, fast cash wanted to help individuals away from economic jams, often have them in even even worse jams since they end up repaying a lot more than they borrowed, says an insurance policy analyst for the Louisiana Budget venture.

Monday a borrower who takes out a $100 loan on average is paying $270 for that privilege, David Gray told the Press Club of Baton Rouge. That’s because most of the time, the debtor has got to simply take down another loan to repay the initial and then duplicate the period nine times, paying rates of interest and charges each and every time before he finally receives the initial loan covered.

Pay day loan outlets are wide ranging, especially in low income areas and people which are predominantly African-American.

“For every set of Golden Arches (McDonald’s restaurants), you will find four storefronts providing pay day loans,” he said. Continua a leggere Group seeks restrictions on pay day loan prices, borrowing regularity