Here’s something nobody expected would happen. After the many criticisms payday lending has received in the last few years from some quarters, and the recent laws and restrictions imposed on the industry, it was expected that payday lending would go down steeply. Almost everybody was expected to stay away from these lenders because they supposedly exploit their customers by charging so called steep interests. In fact, many predicted that the payday lending industry would go out of business soon and even seemed worried about the unemployment this would generate.
But here’s what actually happened. According to a report published by the Department of Business Oversight in California, the numbers of payday loans the seniors are taking in the state have actually tripled over last year. Yes, that is three times more. In other words, payday lending has become more popular in California, in spite of the negative press the industry has received and all the restrictions imposed.