 TITLE: How Will Payday Loan Changes Affect Me? CONTENT: The Downsides of Payday Loans\n-----------------------------\nPayday loans can help consumers with immediate cash flow problems, like covering the cost of a car repair when they don't have any emergency funds to draw on or a credit card they can use. Yet the loans often also come with a lot of unwanted baggage: annual percentage rates as high as 400% or more and fees as high as $10 to $30 for every $100 borrowed.\nPeople who lean on payday loans can find themselves in a vicious cycle whereby they have to extend the loans or take out new loans to pay the old ones off, incurring more fees and creating even bigger financial obstacles to overcome.\nIn states that allow the practice, borrowers may be allowed to roll over their loan into a new one with a later due date. States that do not allow roll-over loans may permit borrowers to renew or take out a new loan on the same day the old one is paid. If you renew or roll over your loan instead of paying it off by the due date, you'll pay a fee to essentially push your due date out. This fee is extra and doesn't reduce the principal loan amount you owe.\nAccording to the CFPB, over 80% of payday loans are rolled over or followed by another loan with 14 days. END