Pandapaydayloans – What the Financial Critics Say
The critics of payday loan are divided on the opinions what lies ahead and what role the government should play to protect the innocent borrowers. Laymen with very little or nil knowledge account for greater share of the borrowers who opt for payday loans. Majority of this group experience a gradual collapse of their financial status because of the never-ending debt loop they get into.
They can’t be blamed always. Some needs are immediate and surface up without any warning. Furthermore, more often than not, they can’t find any alternative source to fund their urgent monetary needs. This has given rise to pandapaydayloans and its popularity. Let us now focus back to what the critics say.
Some are raising their voice for elimination of payday loans from finance industry. They heavily rely on statistical facts and figure which clearly state that more and more fraud cases are reported in this regard and it is being caused by the dishonest lenders. Yes, there are good people in the market but they are being outnumbered by those for whom ‘integrity’ is not a word to stick to. They are only after money making by hook or by crook.
Some critics have a lenient view. They are in favor of restricted regulations by the government so that the ordinary borrowers can always have a feel of safety. Excessive interest rate burns a hole in the pocket. For a good number of borrowers, monthly repayment of loan becomes an obligation because they apply for a new loan to settle the previous dues. That loop I have mentioned in the first paragraph.
However, the lenders in the pandapaydayloans market have vehemently opposing every initiative by the government to regulate the market. They think it is a private industry and so no government regulation should be fobbed on it. As far as the debtors’ predicament is concerned, they think it is the borrowers who need to act more responsibly while dealing with a payday loan provider.
As far as the question of the borrowers’ safety is concerned, they should not deal with an inexperienced lender who is unable to provide any document in writing. Work with a reputed lender. This way you can at least be sure that the person will not demand any hidden charge which is the case with those in habit of unethical practices.
In spite of shower of hatred against payday loan, its importance can’t be denied and so we should think about other ways to safeguard the borrowers’ interest instead of demanding its ban by the government.
This is a very useful source of information. It highlights the pitfalls of payday loan lenders. I think the negativity from the media regarding the market has led to an improvement into the transparency of the industry. In the UK, new codes of practice has been introduced to ensure payday loan lenders act responsibly. Much work is still need to improved the borrowing markets reputation.