Response from: Krystal

http://www.checkcity.com
Payday loans don't target anyone, they are made available to anyone who may need some tempory help to get out of something that has just popped up or something that needs to be taken care of but they can't.

Response from: lynz

Thought you may want to see the response by the national association of payday lenders... NEWS FLASH: Payday Lending Industry Apparently Targets Everyone
Research Demonstrates Payday Lending Customers Can’t be Labeled WASHINGTON, DC – Payday lenders called a new study that claims to have “conclusive proof that conservative Christian Americans are a prime demographic target of the payday lending industry” preposterous. This study, “Usury Law and the Christian Right,” comes on the heels of prior allegations that payday lenders locate in communities with high populations of military, women, Hispanics, the elderly, African Americans, recent immigrants, young people, Native Americans, social security recipients, veterans, the poor and households with a median annual income of $48,000. A recent BusinessWeek article said payday lenders are now targeting more affluent neighborhoods. Analysts estimate that 19 million U.S. households used a payday loan in 2006. “Our industry has been accused of ‘targeting’ the military, minorities, women, immigrants, the elderly, the poor, the middle-class and now conservative Christians,” said Darrin Andersen, president of the Community Financial Services Association of America. “Who’s left? This is preposterous.” “The only common denominator is that our customers are people with steady sources of income and bank accounts who sometimes have unexpected or unbudgeted expenses that require cash between paychecks. Our customers are reasonable people who appreciate having an lower cost option that allows them to avoid bouncing checks or accruing late or overdraft protection fees,” Andersen added. “While critics of the industry assign labels to our customers in an attempt to further their political agendas, the fact is that we provide services to a broad cross section of Americans because there is a broad demand for the financial service we provide,” said Andersen. “Our customers represent a broad demographic segment and cannot be grouped based on race, sex or religion.”

Andersen said the recent report by Christopher Peterson and Steven Graves, which purports to show that payday advance businesses target Christians, was little more than, “advocacy masquerading as scholarship,” and questioned what accusations the industry might face next from opponents of consumer choice in financial services.

The report’s methodology, logic and conclusions were also called into question. Rather than empirically identifying people of faith, it constructs a ‘Christian Power Index,’ compares the number of payday advance locations with coffee shops and fast food restaurants, relies on ‘Bible Belt’ stereotypes and fails to account for the popularity of payday advances in states that do not fit the authors’ preconceived conclusion, including California, Ohio, Montana and elsewhere.

Andersen said that research shows payday advance customers to be middle-income, educated, working families, more than half earning between $25,000 and $50,000 annually, 58 percent having attended college, and one in five having a bachelor's degree. He added that payday advance customers are not the “un-banked”, as 100% have a checking account at a credit union or bank, but turn to payday lenders for low dollar short-term credit needs.

Response from: grant

First of all, the definition of Usury is: The civil or criminal wrong of charging interest that is beyond the legal limit set by a State. If the state has not put limitations on payday lenders, then they are not usurious. Second, if there are more payday stores than McDonald's stores, that is just a testament to the great service that they provide. If there was not a demand for these stores, there would not be any. I use these payday loans to get by from time to time and I never feel like I am being taken advantage of. They provide a service that is better than bouncing a check or getting credit card fees. The last time I bounced a check, I was charged $35 on a $100 check, if I had gone to the payday loan store, I would have only been charged $15. I don't think I have to do the math for you, the bank charged me more. Also, whenever I go into the payday store, I have to prove that I am not in the military and I have to prove that I have a valid bank account and job. With issues like abortion and the death penalty, I can't believe you people are wasting your time on something as stupid as payday loans. People use them, leave them alone.

Response from: Mark

That's interesting, but as I think about it, the vast majority of conservative Christian Americans live in the Midwest and the South which have other factors that contribute to people being strapped for cash (i.e. the loss of manufacturing jobs, etc.) So, perhaps it is merely a coincidence that so many payday loan businesses exist in those regions with conservative Christians versus it being by design.

Response from: Alan

The study doesn't seam to mention anything about online payday loan companies, who are able to service a larger segment of the population and not forced to "target" specific groups.