2017-34 Amending PD Planned Development district 1312 N Water Street

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Illinois Attorney General-Payday Loans fez^fib'"®DiAAMt Payday Loans Nome • Privacy Policy• Contact Us Payday lenders market their products as convenient solutions to temporary casb-flow problems.Don't buy the hype.If you're struggling to slake ends meet,Chances ate you'll be even worse off ifyou take out a payday loan. The truth is:Payday loans are an extremely expensive"form of borrowing inouey,They often cavy triple-digit interest rates and.include all kinds of hidden fees.One payday loan can quickly snowball into too rrueh debt for one family to handle.Many payday borrowers come up short on their loan's due date,so they must take out a new loan to pay off the old one.Or sometimes,lenders will offer consumers additional cash if they take out a new loan to pay of.-je old one.This is called"roiling over a loan.Each time a loan is rolled over,the lender tacks on additional fees.This creates a cycle of debt;horn which some families never recover. New Consumer Protections Under a new law that began on!'larch 21,2,101 V.Illinois consumers now enjoy strongci nrotectioris.froril thc:payday.loan:inidustiy's Worst practices.The new law protects consumers from unlimited roll-overs and requires loans to be based on a borrower's ability to pay. The new lawalso creates a newt ype ofTdan.-ati'e:sii►a, consuiri er.Ic►ari�that is somewhat less expensive than the traditional payday product.Stilt.even with these newprotections in place,consumers must exercise caution when deciding whetherto take out a loan to meet teiremergency expenses.The cost ofshort-term borrowing in Illinois remains very high. Three Types of Loans Small Consumer Loan: There are three type;of payday orpayday-like loans sold in Illinois.The least expensive Of tilrS:1J thesmall CoriSUrrlCr?vG:tl.lJndE'i Illinois law,a tender can charge an.Annual Percentage Rate(APR)of no more than 99%on a small consumer loan.This is by no means cheap,but it's considerably less costly than a payday loan.So,be sure to shop around.Ask a lender if they sell small consu'xer loalls, Be specific.If they don't sell them,move on to a store that does.Stores that sell payday loans cannot sell small consumer loans.it is against the law. In addition to having lower interest rates,small consumer loam have longer terms than payday loans—typically lasting about a year or more.Stretching your payments out over time is one way to help keep them manageable.To ensure you stay in your small consurner loan long enough to pay down a signi icant portion of your balance,the new law prohibits lenders from rolling you over into a new loaf:in the first 75 days of your loan's term..Additionally,by law,a small consumer loan's montinly payments can be no mere than 22.5°ic ofyoui,gross rnontllly income. Payday Installment Leat::Lake sma!_consumer loans,payday install rent loans have longer terms than connventional payday loans, iasting up,to sig:months.i-lowevf-r,11 a1<1ay inatallrnent loans are rnore e/pensive tl?aa sm.,d!Consurnet!oar,,;,'wish APRs running as iilgii �„ ,d `fort t� ai f;r i' � rail o i, ner inn l- or,preferably,an e-en less expensive loan - aa 4001)/o. llti�iS viiy Voii should alia�C E'vEi qui er c tiS_, C n5 1 t before considering a payday l.11odaut. Illinois law does provide payday loan coa,5uiriers with some protections against the cycle of debt,ror example,a lender Cannot roll over your ivaii if doing 50 wGtUi? cep you in debt for longer than six months. Also,a payday installment loan's nionihly payments can be no more than 22.5%of your gross monthly income. Payday Loan:A payday loan is truly a short-term loan; it has to be paid back in two to Four weeks.Like the payday installment loan;a payday loan can cavy an,APR as high as 400%.The combination of the short term and high rates increases the likelihood that you'll be unable to pay off your payday loan when it cones due. 1i2 ,,+,+,it nelnnnoi imnrcinavrinvinnna html