Topic: Cash Before Payday - New twist on payday lending (Milwaukee Journal Sentinel)
The bank plans to soon begin offering small loans to its customers in the hope they will choose the bank instead of a payday lender. In addition, borrowers must have a direct deposit account with Mitchell Bank and authorize the bank to transfer monthly loan payments to the bank. Payday borrowers don’t run credit checks on customers, but they do have databases that tell whether an applicant has other outstanding payday loans and is a good bet to repay the money. The Wisconsin Credit Union League said last week that Wisconsin consumers have saved $1 million on short-term loans by using credit unions instead of payday lenders. Learn more
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