App-based loans could magnify financial stresses after government shutdown, says CRL

By Charlene Crowell

The holidays are coming, and many financially strapped families are considering how to responsibly manage their use of credit while still enjoying seasonal gatherings, presents, feasts and toasts of glad tidings for all. The yuletide season is also a time to especially avoid predatory lenders that offer workers quick access to cash via loans with triple-digit interest rates and hidden fees that can wreck their finances for months.

The convenience of mobile phones and personal computers removes the need to visit storefront lenders to access easy cash Two fast-growing loan products, Buy Now, Pay Later (BNPL), and Earned Wage Access (EWA) have emerged as new business models that deceive

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