The cash loan industry has been booming for a while now, but many of us don’t know much about it. You might past a cash loan company every day on your commute, but have you ever stopped to go inside? Here are 4 facts about fast cash loans NYC that might just surprise you!
It is a New Kind of Business
While modern banking and loans are established parts of our economy, cash and payday loans are relatively new. The concepts of loans and banking have been part of our economy since the industrial revolution, but cash loans only started popping up in the 90’s. For most Americans, this is a new style of loan.
More Cash Lending Companies than McDonald’s
According to this article from NBC News, it’s now more common to see a payday or cash lending business than the Golden Arches. As of that article, there were about 15,000 McDonald’s locations nationwide and a staggering 20,000 payday lending locations. While the amount of McDonald’s hasn’t declined, this explains why fast cash loans NYC is a more common sight than America’s flagship fast-food chain.
The Average Loan is Lower than You Might Expect
Usually, when we think of loans, we think of high numbers. Car loans, mortgages, business loans, student debt, these numbers are all incredibly high, but cash loans come in far lower than all of these. The median cash loan comes in at just $350. This is one of the lowest total amount loans in the US.
The Average Lender Takes Out 8 Loans Yearly
Most of our experience with loans come at much larger intervals. Car loans are only taken out once every few years. Home loans and mortgages might even be a once in a lifetime experience. While student loans are more common, happening usually two or three times per year while the student is enrolled, the average cash loan or payday lender takes out a loan 8 times per year. This is one the highest rates of lending of any industry.
While many of us drive past cash and payday lending businesses every day, we might not know what goes on inside there. That cash loaning business you pass in your daily commute is a relatively new business that has become a more common sight than McDonald’s. The average cash loan is around $350, but they are taken out more often by lenders than most other types of loans. Now that you know these 4 surprising facts, you have a better idea of what goes on at a payday or cash loaning business!