A payday loan is used to cover the borrower’s expenses until the next payday. The loans may otherwise be referred to as cash advances. The United States Congress passed a law to regulate payday lending at state level. On the other hand, it has been considered by some banking regulators to be unnecessary financial drain for lower class members of population. But, lenders state that these loans are the only option for those for those who have bad credits or who cannot get a bank loan or lower interest alternatives.
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