New Bankruptcy Law Secrets
High Risk Loans
Desperate times call
for desperate measures. Unfortunately some of the options open to debtors do more damage
than good. When you feel as though you're truly cornered and feeling emotion, it's hard to
think clearly. But make the wrong move and your future options may be severely damaged.
As the US middle class descends into an orgy of debt, you may have noticed a few new businesses opening up in your neighborhood. Pawn shops and payday loan stores are popping up all over the place these days. They've become so widespread that some communities are passing laws to restrict their spread.
If you get a loan from a pawn shop, you can plan to lose the item you pawn. And those payday loan places are real traps. They loan you money at horribly high interest rates and when you're unable to pay they offer to extend your repayment terms - for an additional fee. It's not uncommon for these crooks to actually end up charging more in interest and fees than the original principle!
Also,
having a payday loan or other high-risk lender on your credit report will damage your
credit rating for years to come.
© Copyright 2006, Ariza Research, All rights reserved
– ABP |
 |