 TITLE: What Is a Courtesy Loan? CONTENT: Types of Courtesy Loans\n-----------------------\nThe two main types of courtesy loans are:\n*   **Payday loans**: Payday loans are small-dollar, high-cost loans designed to provide financial support until your next paycheck comes. Payday lenders usually don't run credit checks. Payday loans are commonly borrowed in amounts of a few hundred dollars, but payday loans of $1,000 or more are available in some states. According to the Federal Trade Commission (FTC), payday lenders typically charge $10 to $30 for every $100 borrowed. For a two-week payday loan, a fee of $15 for every $100 works out to an APR of 391%.\n*   **Title loans**: For a title loan, also known as a car title loan, you use your car, truck, motorcycle or other vehicle as collateral. Many title loan companies don't check your credit. You won't get your vehicle title back until you've paid off the loan, along with any finance charges and fees. The FTC says the average monthly fee for a title loan (25%) is equivalent to an APR of about 300%. END