Chicago, ILL. (Vocus) August 22, 2009
A study released this week by the Better Business Bureau found that more than 90 nursing homes in Missouri make high interest rate payday advance loans to their employees and then deduct the payday advance loan payments, interest and fees from the following paychecks of their workers. PaydayAdvance.org discusses the importance of comparing many reputable payday cash advance websites before deciding to take out a payday cash advance.
Although the arrangement between the nursing home employees and the payday cash advance lender is legal, the BBB questions the ethics of employers benefitting financially off of the wages of their employees. Additional concern mounts over the interest rate that the payday advance loan lenders are charging, which can be up to 1,950 percent annual percentage rate on a two-week payday loan.
The state prohibits payday loan operators from being on the premises of nursing homes but the parent company of a nursing home is allowed to also own a payday loan operation. Employees at such nursing homes are allowed to take out payday loans from computer terminals at the nursing homes where they are employed.
PaydayAdvance.org stresses the importance of comparing the terms of multiple reputable cash advance lenders before deciding to take out a payday loan. Although there are specific lending guidelines all payday operators must abide by, there are some that have more reasonable terms than others. Before agreeing to any legally binding contract, consumers should fully understand the terms and conditions of a contract.
A borrower should read and understand the terms, conditions, fees, interest rates and penalties of a payday advance loan before borrowing the funds. These will be clearly listed on the contract. If a borrower has any questions or concerns, they should be discussed with a lending professional before proceeding.
PaydayAdvance.org provides a free service that assists consumers in finding and comparing payday and cash advance loans from a national network of licensed lenders. To learn more about PaydayAdvance.org please visit our website and contact us.