DULUTH, Ga.–A majority of Georgians who were surveyed said they would never take out a short-term loan due to concerns over the interest rates charged–but one-in-five said they may have no choice.
Georgia Credit Union Affiliates said it surveyed 8,069 people, and found 89% said they’ve never taken out a short-term loan to pay for an emergency. Most respondents – about 75%– said they wouldn’t take out a short-term loan because of their comparatively high interest rates, the GCUA said.
But 20% of respondents said they may take out a higher interest rate loan, depending on how much of an emergency in which they might find themselves, according to GCUA.
Under Georgia law, lenders licensed in the state cannot loan more than $3,000 if the term of the loan is going to be less than 36 months and 15 days.