'Fast Cash' Payday Loans Cost Borrowers $520 Per Year in Fees
Americans tempted by the promise of fast cash are paying an average of $520 a year in fees for short-term credit lines known as payday loans.
An estimated 12 million Americans take out payday loans each year, according to the Pew Charitable Trusts' Safe Small-Dollar Loans Research Project.
But Pew's study reveals that most borrowers actually use payday loans for regular living expenses -- not for emergencies, as many payday lenders advertise. Plus, the average borrower takes out eight loans and is indebted about five months of the year because they continue to renew the original loan.
Read the full article at money.cnn.com.