As opposed to trapping borrowers in a period of financial obligation, ” as President Obama as well as other critics place it, DeYoung contends that payday advances can help individuals avoid a period of financial obligation – like the late fees your phone company prices for an unpaid bill; such as the overdraft costs or bounced-check costs your bank might charge a fee. While bad unsecured debt consolidation loans have actually stricter approval demands, they typically charge lower interest levels and charges than payday lenders.