Payday loans are a big business these days. Consumers use them when the money doesn’t quite stretch far enough from one paycheck to the next. Although, consumers borrowing off a check before it reaches the normal payday, are going to be left with less money. However, those in dire economic straights can't say no to payday loans, and are unaware of even the most basic facts concerning them. What do they charge for the loan and how long will they hold the check?

Fees Make These Loans Risky at Best

Fees on payday loans are high can be astronomically high, sometimes half of the loan and if the loan isn’t paid, then that is another fee to add to it. The way these places work, is that the consumer writes a check to the loan place and they hold that check until the next payday. So it can be held up to a month, depending on when the borrower gets paid next and when they write the check.