DeYoung contends that if you concentrate on the apparently excessive yearly interest levels of payday advances, you’re lacking the idea.
DeYOUNG: Borrowing cash is like leasing money. You’re able to make use of it fourteen days after which it is paid by you straight straight back. You might hire automobile for 14 days, appropriate? You are free to make use of that vehicle. Well, if you determine the annual percentage rate on that car leasing — which means that if you divide the amount you spend on that automobile by the worth of this car — you receive similarly high prices. And this isn’t about interest. This is certainly about short-term utilization of a product that is been lent to you personally.