By Paige Marta Skiba and Caroline Malone
Installment loans appear to be a kinder, gentler form of their “predatory” cousin, the loan that is payday. But also for customers, they may be much more harmful.
Utilization of the installment loan, for which a customer borrows a lump sum payment and will pay straight back the main and curiosity about a group of regular repayments, is continuing to grow considerably since 2013 as regulators begun to rein in payday financing. Continue reading →