payday loan
Short-term borrowing trap
A payday loan is a short-term, high-interest loan designed to tide borrowers over until their next paycheck.
Typically for small amounts, these loans carry steep fees that translate to annual percentage rates often exceeding 400%.
Critics argue they trap low-income borrowers in cycles of debt: She took out a payday loan to cover rent and spent months paying it off.
Preset standard option
- arrearsOverdue financial obligations
- delinquencyCriminal or neglectful behavior
- collectionGathered set of items
- bankruptcyLegal status when insolvent
insolvency · garnishment · repayment · liability · obligation · indebtedness · creditor · borrower
Move or progress forward
- principalChief school administrator
- unsecuredNot backed by collateral
- short-termOf limited duration
- installmentPeriodic partial payment
due date · paycheck · lump-sum · balloon payment · renewal · extension · application · approval
Extortionate money lending
- APRYearly borrowing cost
- predatory lendingExploitative loan terms
- feesCosts for services
- finance chargeCost of borrowing money
late fee · penalty · compounding · exploitation · vulnerable · targeting · deceptive · hidden fees
Decisive dangerous moment
- unexpectedNot anticipated beforehand
- urgentNeeding immediate attention
- necessityIndispensable requirement
- direExtremely serious or urgent
hardship · shortfall · bills · repairs · eviction · medical · car breakdown · rent
Earning below average wages
- working poorEmployed but below comfort
- underbankedLacking full financial services
- unbankedWithout bank accounts
- credit scoreNumerical measure of borrower reliability
creditworthiness · subprime · trapped · vulnerable · military · elderly
Laws defending purchasers' interests
- state lawsLegislation enacted regionally
- capCovering for top
- banOfficial restriction on something
- reformImprove by correcting faults
disclosure · advocacy · alternatives · credit union · cooling-off period · database · licensing
default
Preset standard option
- arrearsOverdue financial obligations
- delinquencyCriminal or neglectful behavior
- collectionGathered set of items
bankruptcy · insolvency · garnishment · repayment · liability · obligation · indebtedness · creditor · borrower · overdue
advance
Move or progress forward
- principalChief school administrator
- unsecuredNot backed by collateral
- short-termOf limited duration
installment · due date · paycheck · lump-sum · balloon payment · renewal · extension · application · approval · verification
usury
Extortionate money lending
- APRYearly borrowing cost
- predatory lendingExploitative loan terms
- feesCosts for services
finance charge · late fee · penalty · compounding · exploitation · vulnerable · targeting · deceptive · hidden fees · debt spiral
crisis
Decisive dangerous moment
- unexpectedNot anticipated beforehand
- urgentNeeding immediate attention
- necessityIndispensable requirement
dire · hardship · shortfall · bills · repairs · eviction · medical · car breakdown · rent · utilities
low-income
Earning below average wages
- working poorEmployed but below comfort
- underbankedLacking full financial services
- unbankedWithout bank accounts
credit score · creditworthiness · subprime · trapped · vulnerable · military · elderly
consumer protection
Laws defending purchasers' interests
- state lawsLegislation enacted regionally
- capCovering for top
- banOfficial restriction on something
reform · disclosure · advocacy · alternatives · credit union · cooling-off period · database · licensing
- debtdebt, creditor, owe, debtor, lender
- debtscredit card debt, medical debt, student debt, mortgage, debt
- loanslend, borrow, borrower, lender, microloan
- bills & debtsmortgage, credit card debt, medical debt, utility bills, rent arrears
- fundingfunding, grant, grants, venture capital, crowdfunding
- money mistakesoverspending, impulse buying, gambling debt, debt spiral, no savings
payday loanmortgage
Secured home loan
home loan · long-term loan · fixed-rate mortgage · secured loan · bank loan
payday loaninterest-free loan
Borrowing without added charges
subsidized loan · fair credit · credit union loan · family loan
payday loanemergency fund
Reserve for unexpected expenses
trust fund · wealth · financial security · savings · financial stability
pay, day, loan, loans, payday, payday loans, loanshark, loansharking