Payday Loan Centers Are Leaving Atlanta Workers In Debt
Most of us would agree that 50% interest is way too much to pay for a credit card. Yet many Atlanta residents are paying annual rates of 500% or more - we just don't realize it.
How? Payday loans. Maybe you know the drill. For whatever reason, you come up short on the bills one month and payday is still a week away. A short-term loan seems like a quick, easy way to get the cash you need upfront -you figure you can worry about the fees later.
Problem is, these are no ordinary fees. In the payday loan world, fee is code for interest. And with interest rates like these, you might end up in debt - and more strapped for cash than you were in the first place.
Let's say you borrowed $300. When payday comes, you have to pay back that 300 bucks, plus $50-100 in interest. Can't afford to settle your balance? You'll have to roll your loan over, which means next time you're eligible for double the interest plus the original principal - and the cycle continues.
No one takes out a payday loan without a plan to pay it back. But the problem with plans is they are never foolproof, since you don't know exactly what the future holds. You can't know for sure that you'll have the money when your payment is due. If you're so hard up for cash that you have to borrow money before payday, how do you know your paycheck will be enough to cover all your regular bills - plus loan fees? Or any other unexpected circumstances that may arise, making paying the loan even more difficult?
Borrowing money is a temporary solution to an ongoing problem - having expenses that exceed your income. Why not find a permanent solution? Bankruptcy can make it possible by offering an affordable plan for paying down debt. By lowering your debt, you'll also lower your bills. That means more of your own money each month, with no interest and no obligation. Speaking of no obligation, when you sign up for a free personal debt analysis with an Atlanta bankruptcy attorney, you'll find the answers to your burning financial questions - and whether there's a bankruptcy plan that suits your needs - all at no cost and no strings attached.