US Government Review of Payday Loans

The Consumer Financial Protection Bureau  is a good resource for finding out more about the payday loan industry. It has a wealth of knowledge, literally reports with hundreds of pages!

Skimming their reports

DAP is a Fancy Finance way of saying a Bank Payday Loan

Interestingly, in one of their reports titled “Supplemental findings on payday, payday installment, and vehicle title loans, and deposit advance products” they go into explaining what a deposit advance product (DAP) is. They define a DAP as: 

a line of credit offered by depository institutions as a feature of an existing deposit account. They are offered to checking accountholders who receive recurring electronic deposits and who maintain accounts in good standing

So, basically, it’s a payday loan from a bank, available when someone has a paycheck coming in regularly. I’d be interested to hear from my readers if anyone has experience with one of these. I may also write a follow up article to go a bit more into this.

With DAP’s, it seems according to the study,  “As with payday loans, fees are expressed in dollars per $20 or $100 borrowed”. And they conclude that in the end, “when expressed as an annual percentage rate, are similar to those characteristic of payday loans”.

There are cooling-off periods and some restraint with banks

All banks required a “cooling-off period” after a certain number of months of continuous DAP use; the number of months to trigger a cooling-off period ranged from six to nine. At most banks a consumer’s DAP credit limit and overdraft limit were connected: for example, if a consumer had a $200 DAP advance outstanding, her available overdraft limit would be reduced by a corresponding $200. However, this was not the case at every bank. Generally, DAP credit limits were set at the lesser of 50% of the monthly qualified direct deposit amount or $500, but some banks utilized different metrics to set credit limits, and product terms evolved over time.

Good Screenshots of State Payday Loan Disclosures

Within the report are a couple good infographics:

Example of a Texas Single Payment Payday Loan Dislosure

Comparison of Payday Loan to other financing

These are great! But still in some ways burdened with so much information and legalese (on the second one) that it could seem complicated to consumers.

Online Payday Loans are Mentioned

There are a number of chapters cover various aspects of the payday lending industry, but the last chapter hold what we’re looking for, the only mention of online payday loans: 6.4 Estimated impact of the limitation on payment collection attempts on the online payday loan market

Unfortunately, there is not much useful information for the online consumer here… just a hypothetical model that looks at what impact would happen if the online lenders were prevented from further attempts to collect money after two failures of automatic withdrawal.

Important Links for Laws Regulating Lending in US

The laws that surround lending practices in the US are complicated. If you want to know your rights and look to make sure that the lenders you are using are in fact doing “business by the books”, here are vital resources to help you research. You can start out on our site reading the page that covers payday loans. 

Start out by reading up on the Truth in Lending Act here on Wikipedia. There are good links as footnotes in the bottom of the article and in the “further reading” section after the main article.

To get to the deep legalese of these acts, please see Cornell Law’s clickable catalogue of Regulation Z.




Blue Trust Loans increases max loan amount to $2,000

Blue Trust Loans has increased their max loan amount from $1,250 to $2,000.

Since this site has been running reviews of payday loan and cash advance lenders, this is the highest amount that we have seen yet! This is good news for anyone looking for a the highest amount payday loan online we’ve ever reviewed. A maximum loan amount of $2,000 represents a change in the way lenders are looking to lend.

While Blue Trust Loans are actually different from traditional payday loans and cash advances, they are actually installment loans and present a good alternative.

Changes to the main payday loan review homepage will be made immediately to reflect this new maximum amount.



Getting Full Contact Info for Payday Loan Sites

We often get asked about contact info for online cash advance companies. After scouring the web we have found the best site to use. This site lists various lending companies and also goes gives some of their alternative names under which they may be currently doing business, or if they changed their name from a different one in the past.

We hope that you will stick to the trusted recommended lenders listed here on our homepage, but if you have taken our a loan with another company not listed on this site, then the above might be your best chance for tracking down your lenders.

Good Luck!

Payday Loans from Trusted Payday

Trusted Payday is not a lender. They take your information and submit it to their vast network of lenders to find the best possible terms with the most likely potential for acceptance.  Within minutes of entering your information you will be presented with a number of offers from lenders competing for your business. This competition usually means lower rates and more favorable terms than offered by direct lenders. However, they may request additional documentation and proof if identity which can delay access to funds. offers cash advances from $100 to $1,000 with typical repayment terms of 14 days. Extensions are available for additional fees.  The actual fees and terms vary from lender to lender and you will need to submit an application before reviewing them. Since they work through a network of lenders they can service almost any state. Fees and terms vary from lender to lender and state to state. What are the requirements for a loan?
The minimum requirements for a personal loan are:

  • You must be at least 18 years of age
  • Have a job (or other regular source of income)
  • You must have an active open bank account

The application process just takes minutes and is completely free with no obligation.

We rated 7/10 for it’s large network of lenders and their ability to quickly match you with several offers. But since lender policies and requirements differ, more documentation is often required for final approval which may delay access to your funds for 24 hours or more.

What You Should Know About Payday Loans and Cash Advances

Fast cash Payday style loans or cash advances may not be the best solution for your short term cash needs.

How Payday Loans Work:

Specifics may vary from lender to lender, but in general, here’s how they work:

  1. The borrower writes a personal check to the lender. The amount of this check is equal to a) the cash advance or payday loan plus b) interest and service fees charged by the lender.
  2. Credit ConsulingThe lender gives the borrower the face value of the check (a in step one) minus the fees (b).
  3. The lender then holds the check until the due date of the loan. The due date is typically, but not always, the next payday for the borrower.

How Payday Loan Fees are Calculated

The fees on the cash advance (loan) can be based on increments of the money borrowed. For example: a fee of $15 for every $100 borrowed. They may also be a percentage of the face value of the check written by the borrower. The borrow can be charged additional fees if the loan is extended.

The federal Truth in Lending Act requires lenders to disclose the true cost of the loan. Lenders must provide in writing the finance charge ( service fee ) and the annual percentage rate ( APR ) before you sign the loan. The APR may vary, and is based on the length of your loan, the service fees, your interest rate, and the amount borrowed. You can calculate this APR using our calculator.

A Payday loan can be a very expensive financing tool. Let’s say you borrow $200 for two weeks and you write a person check for $225, with the additional $25 being the fee to borrow the money. The lender agrees to hold your check for the 14 days. When that time comes, the lender deposits the check and $225 is deducted from your checking account. But if you roll-over the loan for an additional 14 days, another $25 service fee is added, so in 14 days, $250 will be deducted from your checking account. So you will have paid $50 to borrow $200, which equates to an annualized interest rate of 300% !

Alternatives to Payday Loans

A payday loan may not be the best option for your situation. Consider these alternatives.

  1. Consider joining a credit union. Small short-terms loans may be possible using cars or other property for collateral, or your own personal credit. Requesting a cash advance on your credit card at 21% is high interest, but still considerably less than the payday loan or cash advance.
  2. If you take a payday loan or cash advance, shop online for the lowest costs. Compare the finance charge (service fee) and APR, which includes interest and other credit costs. Look for the lowest overall APR. If you are in the Military, you receive special protections against unreasonably high fees or rates. But all consumers in most states have some degree of protection which limits interest rates and fees.
  3. Despite protections payday loans are expensive debt. If you roll-over the loan the actual cost of the borrowed funds could be double the amount lended. Taking the time to search for other credit offers may net you lower costs.
  4. Contact your loan servicer, or creditor, as soon as you realize you are having difficulty making payments. Most will will work with consumers and give an extension on your bills if they believe you are acting in good faith.
  5. Contact a credit counseling service to help create a personal budget or to work out a debt repayment plan with creditors. There are non-profit groups in every state that offer credit counseling to consumers at no cost.
  6. Gather your daily and monthly expenses and make a realistic budget. Plan for your spending needs and avoid unnecessary purchases. Small every day items like coffee or newspapers add up. Commit to set aside a small amount for savings each week, even $5 will add up and help with emergency or rainy day expenses. Saving the fees on a $200 on a six month payday loan, for example, will create a significant buffer against needing the loan in the first place.
  7. Obtain overdraft protection for your checking account. This is NOT a loan, but it will help protect you from checks being returned to creditors and create further problems. Shop around for the best terms on overdraft protection, ask the cost per item and what it covers, or for how long.

The bottom line on payday loans is that if you must use one, pay it back quickly. Do not allow it to roll over and increase your costs, and budget, budget, budget.


The FTC provides information to help consumers spot, stop, and avoid fraudulent, deceptive and unfair business practices in the marketplace. Complaints can be filed at or to get free information about consumer issues and protection visit

You can contact the consumer protection agency in your area for more information on state or local protections for cash advance and payday loans. You may also consult the GSA Consumer Action Handbook at And state offices are listed at:

Tips To Stretch Your Budget This Holiday Season

Tips To Stretch Your Budget This Holiday Season

Savvy shoppers plan for their holiday buying. They create a budget, save throughout the year, avoid credit, and stick to their plans. Here are some tips offered by smart shoppers.

1. Make a Plan For Your Spending

Start with a realistic idea of how much you can spend on all your holiday purchases. Make a list of everything you usually buy, from the gifts to food to entertainment to travel expenses, and tally the costs.

“If you don’t budget and set a specific dollar limit, then your spending grows and grows and grows. In January you’ll be horrified by how much you’ve spent,” says Mari Adam, a Certified Financial Planner in Boca Raton, Fla. “And, don’t get locked into the thought that how much you spend measures how good of a person you are.”

2. Know Your Limits

Not many can afford to shop carte blanche, so don’t try! Make a list of gift recipients and decide how much you want to spend on each person. If you’re unable to spend as much on gifts this year, prioritize for whom you really want to buy gifts. Then communicate your plans to family and friends, says Adam. “If you tell them you won’t be exchanging gifts this year, then you won’t feel embarrassed if they purchase you a gift.” You want to be able to pay off your holiday expenses within three months after the holidays, four at the most.

3. Keep Track of Your Spending

You’ve made a spending plan — great! But if you don’t keep track of all your purchases and make sure you’re staying within your budget, you’ve wasted your time. Write down everything you spend on holiday clothing, cards, postage, wrapping paper and decorations, reminds Dvorkin. “Don’t forget that these holiday expenses add up and need to be tracked on your budget.”

4. Stick To Your Shopping List

Know what you want to buy, and go to the store with a list. You can zip through the stores faster and are more apt to avoid impulse buying, says Dvorkin. When you have finished shopping, stop.

5. Avoid Last Minute Shopping

“The best window for holiday shopping is between Oct. 1 and Dec. 1,” says Dvorkin. “Don’t wait until the last minute. Give yourself time to compare prices and find the best deals.” An all-out shopping spree leaves you exhausted from shopping, tempting you to buy the next thing you see regardless of cost. Last-minute shoppers are unlikely to save money.

6. Research Your Shopping – Compare

Comparison-shopping stretches your holiday funds further. Fight the urge to get your shopping over quickly, recommends the Consumer Federation of America and the Credit Union National Association. Instead, take some extra time to find the best deal before heading off to the stores by scouring catalogs, sales advertisements and the Internet.
Easier said than done. Most people are frazzled with their jobs and busy holiday schedule. They often work right up until Christmas, so their holiday shopping is done last minute, says Adam.

7. Pay With Cash, Leave Your Card At Home

Leave your credit cards at home. “Spend cash. This will force you to budget and make overspending more obvious,” says Dvorkin. According to the CCCS, people spend up to a third more when paying with credit instead of cash. There is no emotional attachment to plastic like there is to cash.

But, if you must use plastic, suggests that you deduct all your purchases in your checkbook register. That way, when the bill arrives, the money will be in your checking account to pay the bill in full.

8. Limit Your Credit Card Use

Shop with no more than two credit cards — preferably low-interest rate credit cards, not the expensive department store cards. The more cards you use, the harder it is to track spending. Use one with a zero balance for purchases you will pay off in full. Use the other, low-interest rate credit card for purchases you plan to pay off over the next few months.

9. Avoid the Hype, Avoid New Card Offers

Don’t shop under the influence of holiday hype. Retailers work hard to entice you to buy, buy and buy. If you’re not careful, you’ll spend more than you planned. Don’t fall for credit card offers to “skip a payment.” You’ll just pay more in interest next month. Watch out for the “buy now and pay later” offers that encourage you to spend money you don’t have. And, bypass applying for the department store credit card to get a one-time discount.

Blue Trust Loans Review

While this is not technically a payday loan, it is still a good option if you are looking for quick money in an emergency. This is the better solution if you need to take out money. That is because Blue Trust Loans goes about loaning you money with installments as a payback method. This means that you slowly repay your loan instead of it all coming out of your account all at once.


Check into Cash Review


In most cases the your payday loan should be approved within 30 seconds when using the online application. You should get the money within 1-2 days. Check into Cash does require that you have a checking account to receive the money transfer, although it does also state that you can pickup the money from a local store. After you receive a pre-approval notice, you then wait and will get a call from a representative to make sure that the phone number and information that you provided is correct.

They are not that clear on the repayment terms. Overall, they have a good website with a map of where they support loans. It is very easy to go onto this site and click on your state and follow through to see the exact fee structure of the loans. As you can see, there is a fixed fee schedule that changes with the amount that is taken out. Here you can see they clearly show the financial fees.