Companies that make quick loans – for example, payday and car title lenders – sometimes charge extremely high interest rates. They can be very expensive ways to borrow money. But the Military Lending Law says payday lenders can only charge up to 36% for service members.
- Can you get money from anywhere else? Consider a loan from your bank or credit union. Even using a credit card may be better than a payday or title loan.
- Shop around for the best deal you can get on the APR, fees, how soon you have to repay the money, and what happens if you don’t pay on time.
- Facing financial trouble? There’s help for you. Talk to your PFM about your choices. Do you need more time to pay your bills or a possible advance on your paycheck? Do you want to talk with a certified credit counselor about managing your money? Do you want some help from a military relief society? Call DoD’s Military OneSource help line 24/7 at 1-800-342-9647 to discuss alternatives.