What are payday loans?
Payday loans, also referred to as cash advances, are short term, low-dollar value, unsecured, consumer loans. These loans, typically less than $500, usually have a term of 4-28 days. After the term has expired, the amount of the loan must be repaid along with a small loan fee. Some lenders allow the loan to be renewed for a fee.
It is important to point out that payday loans and cash advances are not intended to be used as long term finance options. Payday loans are meant to be a short-term solution to an immediate financial need. For more information on things to know about payday loans, visit our What Should I Know? page.