The economic recession of 2008 has hit the entire nation hard, but many small communities in South Carolina were especially affected. Some of the people who have found hardships turn to payday loans to fill the gaps, but this can lead to extremely high debt burdens that are hard to pay off. South Carolina payday loan laws are also excessively difficult for lenders to exploit, which is information that you need to arm yourself with in the future. There are many things that can go wrong when you are borrowing money, but with the law on your side you can at least defend yourself from injustice.
South Carolina Payday Loan Laws for Protection
Learning the South Carolina payday loan laws will help protect you from some of the unwanted attention that you might get from aggressive lenders. In the state of South Carolina there are a number of laws that can benefit you from lenders or even yourself. For example, many people take out far too much money that they cannot afford to re-pay. Lenders will often realize this and capitalize in order to get you into the payday loan debt trap as long as possible. Therefore, the state cap on the maximum loan in the state is $300. This is far below the $1000 that is allowed in other states and even below the average for most others. In addition, the maximum finance charges for the debt is quite low as well. You will only be charged $15 for each $100 that you are borrowing, which can be up to five times less than some of the other states.
Many of the other states have a strong payday loan lending lobby that enables them to influence the different legislation that goes on. Luckily, the people of South Carolina do not have to contend with very difficult payday loan laws in their state. This is a great advantage that few people have.
Online Rules for Payday Loan Companies
Much like other states, the online payday lenders in the state of South Carolina must be licensed in order to operate in the state. In the case of South Carolina, only “PayDayOne.com” is allowed to operate fully within the state, which gives them a monopoly. Nonetheless, they are a trusted brand that has not had many difficulties within the state legal system so far. Still, it is beneficial to learn the South Carolina payday loan laws as soon as possible.
