Cincinnati Payday Loans: Subprime Report
An OppLoans Guide to Getting The Help You Need


Cincinnati is a wonderful place to raise a family. Parents looking for something to do with their kids can take them to a Reds game, to a show at Cincinnati Shakespeare or to see the penguins at the Cincinnati Zoo & Botanical Garden. But even though Cincinnati is one of the most affordable cities in the country,(1) there are many people who still struggle to pay their living costs. And when an emergency strikes, these folks can find themselves hard-up to pay for the expenses. Fortunately, there are many different places in Cincinnati where they can find assistance. From personal loans to government assistance programs to local charities, there are lots of ways for them to get help. Even if they are dealing with more complicated issues like mental illness, domestic abuse or drug addiction, there are resources throughout the area that can provide assistance for little-to-no cost.

Borrowing Money in Cincinnati

Find a good personal loan can be difficult for people with low incomes and less-than-perfect credit histories. They are often excluded from the safe, low-interest loans offered by traditional lenders like banks and credit unions. As such, they usually end up getting a loan from a payday store or a title lender. They might even take their stuff to a pawn shop to use as collateral for some quick cash. Unfortunately, most of these kinds of loans come with high interest rates and short repayment terms and can be very difficult to repay due to these predatory lending practices. In fact, many borrowers end up in court, have their car repossessed or watch their family heirlooms get sold to a complete stranger. Before taking out a loan in Cincinnati, it wouldn’t hurt to learn a little bit more about these predatory lenders. It could save you some major headaches down the line.

Payday loans in Cincinnati
High interest and short terms? No thanks!

To get a no credit check payday loan, usually all someone needs to do is write the lender a post-dated check or give them their routing information. When the due date arrives, the lender cashes the check or withdraws the funds from the borrower’s bank account. The problem with payday loans isn’t how easy they are to secure, it’s how difficult they can make life for the people who use them.

The interest rates, fees and short repayment terms for payday loans are such that many people have difficulty repaying them. In fact, Ohio passed a law to restrict payday lending in 2008. It set interest rates at 28%, the minimum term at 31 days and capped the amount people could borrow at $500. Unfortunately, payday lenders in Ohio exploited loopholes in the law and kept on issuing larger loans with 14-day payment terms and annual percentage rates (APRs) over 600%.(2) The issue even went to the Ohio Supreme Court in 2014, but they reversed the lower court’s decision and the loopholes(3) remain in place. Ohio borrowers can fall prey to online payday lenders as well.(4)

People in Cincinnati who need quick cash to cover unforeseen expenses should avoid payday loans as best they can, otherwise they might get trapped into an unending cycle of debt. For more information on payday lending or to lodge a complaint against a payday lender in Cincinnati, contact the Ohio Department of Commerce, Division of Financial Institutions at (866) 278-0003 or the Consumer Financial Protection Bureau at (855) 411-2372.

Subprime Reports

See more local Ohio Subprime Reports below:
Akron Payday Loans | Canton Payday Loans | Cincinnati Payday Loans | Cleveland Payday Loans | Columbus Payday Loans | Dayton Payday Loans | Freemont Payday Loans | Lima Payday Loans | Springfield Payday Loans | Toledo Payday Loans | Youngstown Payday Loans

References:

  1. Levingston, Chelsey. “Cincinnati one of the country’s most affordable cities.” Journal-News. Accessed February 18, 2016. https://www.journal-news.com/news/news/cincinnati-one-of-the-countrys-most-affordable-cit/nfBmt/
  2. “Ohio’s Payday Lending Landscape: New law, same old loans by Policy Matters Ohio.” Consumer Federation of America. Accessed February 17, 2016. https://www.consumerfed.org/pdfs/Payday-Lending-Ohio-Fact-Sheet.pdf
  3. Candisky, Catherine, Ludlow, Randy. “Court sides with payday lenders.” The Columbus Dispatch. Accessed February 17, 2016. https://www.dispatch.com/content/stories/local/2014/06/11/payday-lending-ruling.html
  4. “Fraud and Abuse Online: Harmful Practices in Internet Payday Lending.” The Pew Charitable Trusts. Accessed February 17, 2016. https://www.pewtrusts.org/~/media/assets/2014/10/payday-lending-report/fraud_and_abuse_online_harmful_practices_in_internet_payday_lending.pdf
  5. Mayeker, Ram. Zimmerman, Terry. “Consider Alternatives Before Obtaining Auto Title Loan.” OhioBar.org. Accessed February 17, 2016. https://www.ohiobar.org/ForPublic/Resources/LawYouCanUse/Pages/Consider-Alternatives-before-Obtaining-Auto-Title-Loan.aspx
  6. “Chapter 4727: PAWNBROKERS.” LAWriter: Ohio Laws and Rules. Accessed February 17, 2016. https://codes.ohio.gov/orc/4727
  7. Ohio Subprime Report

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