No Credit Check Payday Loan Video – Helpful or Propaganda?

Could a so-called training video geared towards no credit check payday loan customers by the payday lending companies really be helpful and informative? Or are they just another advertising and promotional tool to propagate the loan service? Well, either way, this is quickly becoming a new payday loan company trend. This starts with the company USA Payday Forever and their client educational/training videos. Now, many others in the industry have taken notice and are developing their own versions of consumer “education” videos.

 

For many no credit check payday loan owners, this is a great opportunity to look as if they are they caring lender. Thus, they are trying to build a trusted reputation in order to reel in new customers. This is especially important for the online payday loan companies, where competition is steep. They have to find new ways of standing out in the sea of other lenders. Payday loan services are also fighting against a stigma of usury, lies, manipulation, and financial ruin of the borrowers.

 

These videos are supposed to educate the no credit check payday loan consumer on how the loan process works. There are videos to educate the clients how to take out payday loans in a responsible manner and how to pay back the loans to avoid getting caught up in the hamster wheel of revolving debt.

 

Many consumer advocacy groups see these so-called training videos as a joke and a poor ploy to trick those in need into trusting their high interest rate loans. They point out that even though a customer may watch a few videos and feel better about the caring nature of the no credit check payday loan company, he or she is still going to be charged the same triple or four digit Annual Percentage Rate (APR) on the small, short term loan.

 

Other industry watchers feel this could be a good thing in consumer no credit check payday loan education. However, they note that the videos need to be blunt and to the point on what will happen if the loans are not paid back and the effect on the client if they get trapped in serial borrowing. This type of borrowing from such high APR lenders usually makes the lives of the customer even more stressful and financially chaotic.

 

Good or bad, these educational/training videos are most likely here to stay, at least until the next no credit check payday loan company poly comes along. In the end, it is up to the consumer to decide if these are truly going to influence their decision or not.

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