The top earnings of payday loan providers are over

The top earnings of payday loan providers are over

Every year about twelve million Americans take out payday loans. It is a huge — and controversial — company.

The U.S. customer Financial Protection Bureau called these loans „debt traps“ and proposed brand new guidelines Thursday to suppress the industry’s worst techniques.

Payday advances typically have rates of interest of over 100% — far greater than the 15% to 30per cent yearly rates of interest on personal credit card debt.