Enter the 3rd Party
It’s not only one business lending its cash to a person for everyone high interest rates and fees. In reality, that model is basically unlawful in a lot of states (including my house state of Texas) due to usury laws and regulations, which prohibit unsecured loans from having usuriously high interest levels (in Texas, the limitation is 10%).
Pay day loans are signature loans, therefore lenders that are payday around these guidelines by acting being an agents or middlemen between loan providers and customers. Continue reading