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He took out a 500 loan. The 64-year-old Houstonian doesnt recall the exact terms of the loan, but The Money Centers website currently offers a 500 loan at 650 percent annual interest, or about 150 in fees and interest for a two-week loan. Such terms are common in Texas, where payday and car personal loans online decision lenders are allowed to charge customers unlimited fees.
Like many low-income borrowers, Tillman found he couldnt fully pay off the loan when it came due. Instead, the lender offered to roll it over for another two weeks and tack on another round of fees.
Tillman took on more payday loans to pay off the original loan and soon found himself in deepening debt.
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Also included in our upgrade personal loans online decision an extra layer of flexibility, designed to compete with revolving credit, bank overdrafts, credit cards and credit lines.