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Pay day loan alternative might be a better deal, but has its own risks that are own

Pay day loan alternative might be a better deal, but has its own risks that are own

Payday advances target customers without any credit or low fico scores. These high-interest loans promise quick money before the next paycheck comes in, but frequently they create dangerous rounds of brand new loans to settle the old people, draining funds and pressing borrowers ever deeper into poverty.

In 2018, the Federal Trade Commission sued major payday lender AMG solutions for deceptive lending that involved illegal withdrawals and charged concealed fees. The $505 million in restitution AMG decided to may be the biggest affordable title loans reimbursement the FTC has administered up to now, covering an approximated 1.1 million borrowers.