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1.
You can get a short-term loan from your checking account through what is called _______.
Choose wisely. There is only one correct answer.
Overdraft protection. Overdraft protection simply means overdrawing your checking account. You will likely be charged a fee for it.
2.
To qualify for a payday loan, what must your income be?
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There is no minimum. You just need to earn sufficient money to cover the loan.
3.
What is a typical fee on a payday loan?
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15%. Fee rates range from 15-20% of the amount borrowed.
4.
A payday loan is designed to _______.
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Tide you over until your next paycheck. A payday loan is set up to pay short-term bills and to be repaid with your next paycheck.
5.
Predatory lending can occur with which of the following?
Choose wisely. There is only one correct answer.
All of the above. All of these and many more can be involved in predatory lending. You should evaluate all of them carefully.