Risks

Rrestricting payday loans can cause serious unintentional consequences to some consumers. The risks borrowers face are the possibilities of further overextension on credit and higher payments for such loans. The risks of restricting ones ability to access that type of credit could result to even more serious consequences. One may have to make absent payday loans, some borrowers may have to pledge a needed household good to a pawnbroker or face bankruptcy. Some may be forced to deal with undesirable lenders, such
as loan sharks.