Payday Lending Catching On at Credit Unions

Give the people what they want

Why not get it right the first time when you try payday lending, credit unions? (Photo: wikipedia.org)

Payday lending has been consistently bashed by banks and credit unions that have been eager to capitalize on a legitimate market where there is real demand. The overriding desire has been to get people away from small loans and lock them into longer-term (read: longer period to compound interest), higher-dollar loans. While profitable for these large institutions, it’s wasteful for the consumer in the long run. If you need $100 to $1,500 quickly, why should you have to wait to take out a loan for a few thousand more? Why should you also have to pay interest on money you don’t need?

Some credit unions get this

They’re attempting to meet the public demand for payday lending. The Las Vegas Sun reports that Nevada Federal Credit Union has been offering a service called AdvancPay for the past few years. It took a while for it to catch on, but America’s current economic conditions have upped demand, proving that consumers are eager to take advantage of short-term loans when they’re in a financial pickle. … click here to read the rest of the article titled “Payday Lending Catching On at Credit Unions“