|
A payday loan (also called a payday advance, salary loan, payroll loan, small dollar loan, short term or cash advance loan) is a small, short-term unsecured loan, "regardless of whether repayment of loans is linked to a borrower's payday."〔Michelle Hodson ,''fdic.gov'', 18 November 2009, (How Payday Loans Work )〕 The loans are also sometimes referred to as "cash advances," though that term can also refer to cash provided against a prearranged line of credit such as a credit card. Payday advance loans rely on the consumer having previous payroll and employment records. Legislation regarding payday loans varies widely between different countries and, within the USA, between different states. To prevent usury (unreasonable and excessive rates of interest), some jurisdictions limit the annual percentage rate (APR) that any lender, including payday lenders, can charge. Some jurisdictions outlaw payday lending entirely, and some have very few restrictions on payday lenders. In the United States, the rates of these loans were formerly restricted in most states by the Uniform Small Loan Laws (USLL), with 36%-40% APR generally the norm. There are many different ways to calculate annual percentage rate of a loan. Depending on which method is used, the rate calculated may differ dramatically. E.g., for a $15 charge on a $100 14-day payday loan, it could be (from the borrower's perspective) anywhere from 391% to 3733%.〔$15 on $100 over 14 days is ratio of 15/100 = 0.15, so this is a ''14-day rate''. Over a year (365.25 days) this ''14-day rate'' can aggregate to either 391% (assuming you carry the $100 loan for a year, and pay $15 every 14 days: 0.15 x (365.25/14) = 3.91, which converts to a percentage increase (interest rate) of: 3.91 x 100 = 391%) or 3733% (assuming you take out a new loan every 14 days that will cover your principal and "charge", and every new loan is taken at same 15% "charge" of the amount borrowed: (1 + 0.15)365.25/14 - 1 = 37.33, which converts to a percentage increase (interest rate) of: 37.33 x 100 = 3733%).〕 Although some have noted that these loans appear to carry substantial risk to the lender,〔Megan McArdle,''theatlantic.com'', 18 November 2009, (On Poverty, Interest Rates, and Payday Loans )〕〔Paige Skiba and Jeremy Tobacman, 10 December 2007, (): The Profitability of Payday Loans.〕 it has recently been shown that these loans carry no more long term risk for the lender than other forms of credit.〔(【引用サイトリンク】first1=Aaron )〕 These studies seem to be confirmed by the SEC 10-K filings of at least one lender, who notes a charge-off rate of 3.2%. ==The loan process== The basic loan process involves a lender providing a short-term unsecured loan to be repaid at the borrower's next payday. Typically, some verification of employment or income is involved (via pay stubs and bank statements), although according to one source, some payday lenders do not verify income or run credit checks. Individual companies and franchises have their own underwriting criteria. In the traditional retail model, borrowers visit a payday lending store and secure a small cash loan, with payment due in full at the borrower's next paycheck. The borrower writes a postdated cheque to the lender in the full amount of the loan plus fees. On the maturity date, the borrower is expected to return to the store to repay the loan in person. If the borrower does not repay the loan in person, the lender may redeem the check. If the account is short on funds to cover the check, the borrower may now face a bounced check fee from their bank in addition to the costs of the loan, and the loan may incur additional fees or an increased interest rate (or both) as a result of the failure to pay. In the more recent innovation of online payday loans, consumers complete the loan application online (or in some instances via fax, especially where documentation is required). The funds are then transferred by direct deposit to the borrower's account, and the loan repayment and/or the finance charge is electronically withdrawn on the borrower's next payday. 抄文引用元・出典: フリー百科事典『 ウィキペディア（Wikipedia）』 ■ウィキペディアで「Payday loan」の詳細全文を読む スポンサード リンク
|