HATTIESBURG, MS (WDAM) - Mississippi residents who seek payday loans usually use them as a last resort. Investment adviser Dorian Black spoke to WDAM Tuesday and gave tips for people before they apply.
"If you go to one of these places, you want to make sure you go to a place where people actually care about you, and not just the interest they can make off of you," Black said.
There are a lot of reputable businesses that offer payday loans, but Black warns people not to fall for the bad ones.
"People can get in trouble," Black said. "Some of these places prey on vulnerable people who have bad credit and low incomes. These people borrow this money, and they really don't have a way to pay it back."
The responsibility should also fall on the person asking for the loan. Black tells people that if they can't pay the money back, don't borrow it.
"The individual has some responsibility as well," Black said. "You want to make sure that when that next paycheck comes around, you're going to be able to pay that money back."
If the money is not payed back in time, the person could be charged late fees. Before applying for any loan, it is also a good idea to research interest fees.
According to Black, you should look at every other option before considering a payday loan.
"These are short-term and high interest loans," Black said. "It should be your last resort."