Phone Call Us 414-326-9231
Toll Free 866-678-9352
Text Us 414-277-7742

Are you thinking of a payday loan to get you through?

If you are having a tough time right now, you are not alone. At this time of year, many are realizing they overspent on their vacations, a medical or car repair bill has set them back, or they are a little short for what they need to get those back-to-school supplies for their kids. When money is tight, it is easy to make rash decisions.

Once the credit cards are maxed out, you may think your options are limited. There is a quick and easy option in a payday loan. However, what may seem like the answer to your problem may actually create an even greater problem.

How does it work?

There is no shortage of payday loan options in Milwaukee. In fact, you only need to drive a block or two before you pass another storefront offering cash now. Wisconsin is one of the few states in which payday loans remain legal, and there is little regulation over them. This may seem like a good thing, but for many, such easy access to credit is a dangerous situation.

Some important facts to know about payday loans include the following:

  • Payday loans are short-term, typically between one and two weeks.
  • You will provide proof of employment and access to your bank account.
  • You will give the lender either a post-dated check or permission to debit your account on your next payday.
  • The lender will deposit the money into your account.
  • On the date the loan comes due, the lender will cash your check or withdraw the money from your account, plus the fees and interest.

The fees and interest on a payday loan can be outrageous. In Wisconsin, there is no legal limit to the rate a lender can charge. In some cases, you may be paying close to 400 percent annual percentage rate.

What if I can't pay?

If your finances are no better on the due date than when you took out the loan, you may have to extend the loan. Payday lenders are happy to do this because they can continue to charge you for the original loan and add new charges for the extension. Additionally, if you authorize the lender to debit your checking account, he or she may do so even if there are insufficient funds, resulting in hundreds of dollars in bank fees especially if the lender attempts to collect numerous times.

Instead of a payday loan to tide you over, you may wish to explore options that will bring a true solution to your financial troubles. If you find yourself more often needing cash to tide you over, your finances may be worse off than you realize. You may find it helpful to discuss the matter with a legal advisor who can offer sound advice for seeking a long-term resolution.

No Comments

Leave a comment
Comment Information

Contact Our Milwaukee Law Firm

Reach Miller & Miller Law, LLC, online or call us at 414-326-9231 to schedule a free initial consultation. Our law office also provides Spanish language services. Se habla español.

To schedule an initial consultation, call 414-326-9231 or contact Miller & Miller today.

Free Case Evaluation

* indicates required field

Milwaukee Office
633 W Wisconsin Ave, Suite 500
Milwaukee, WI 53203

Phone: 414-312-6581
Fax: 414-277-1303
Milwaukee Law Office Map

Kenosha Office
6123 Green Bay Road
Suite 210
Kenosha, WI 53142

Phone: 262-326-1669
Kenosha Law Office Map

Brookfield Office
200 S. Executive Drive
Suite 101
Brookfield, WI 53005

Phone: 262-261-0665
Brookfield Law Office Map

Madison Office
2810 Crossroads Drive
Suite 4001
Madison, WI 53718

Phone: 608-260-7133
Madison Law Office Map

Glendale Office
6001 N. Green Bay Avenue
Glendale, WI 53209

Phone: 414-973-8662
Glendale Law Office Map

Appleton Office
4321 W. College Ave.
Suite 200
Appleton, WI 54914

Phone: 920-280-3838
Map & Directions