From Payday to Small Installment Loans
Further, nationwide study data show that 79 percent of payday borrowers opt for a model exactly like Colorado’s, through which loans are due in installments that just simply take a little share of each paycheck. 5 Seventy-five % of the public also supports such a necessity. 6
The trend toward payday installment financing is accelerating to obtain in front of the CFPB’s regulation and get away from state-level customer protections, plus in a reaction to these customer choices. 7 but, you look at the lack of sensible regulatory safeguards, this installment lending, in adition to that when you look at the conventional subprime installment loan market who has existed for a hundred years, may be harmful because it exists today, when. 8