Payday Loan Alternatives: CFPB Consumer Protection
By Consumer Financial Protection Bureau | 7 min read
Avoid payday loan traps with CFPB-recommended alternatives. Lower-cost options for emergency cash needs.
The CFPB warns against expensive payday loans and suggests alternatives. Payday loan problems: APRs often exceed 400%, Debt trap cycle with rollovers, Bank account overdrafts from automatic debits. Better alternatives: Credit union payday alternative loans (PALs), Bank small-dollar loans, Employer advance programs, Community assistance programs. If you must use payday loans, borrow only what you can afford to repay quickly.\n\n**Related Resources**\n- [Financial Planning Tools](/tools)\n- [Budget Calculator](/budget-planner)\n- [Credit Guide](/category/Debt%20%26%20Credit)\n- [Money Saving Tips](/category/Save%20Money)