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Relations (1)

cross_type 3.00 — strongly supporting 7 facts

The U.S. is the primary geographic market for payday loans, with significant data on their financial volume [1], regulatory status [2], and the impact of interest rate caps on lending practices within its states [3], [4].

Facts (7)

Sources

The Impacts of Individual and Household Debt on Health and Well ... apha.org American Public Health Association 7 facts

measurementThe volume of payday loans in the United States increased from $5 billion in 1995 to $45 billion in 2013.

claimHigh-interest payday loans were illegal in the United States prior to the 1980s, and currently, 18 states and the District of Columbia prohibit them by capping interest rates, typically at 36%.

measurementThe volume of payday loans in the United States increased from $5 billion in 1995 to $45 billion in 2013.

measurementPayday loans can have interest rates exceeding 600% in some U.S. states, according to a report cited by CNBC.

claimThere is no evidence of increased illegal lending in US states that have implemented interest rate caps on payday loans.

claimThere is no evidence that capping interest rates on payday loans leads to an increase in illegal lending practices in the United States.