Like other states with little or no debt trap protections, Texas shows higher fee drains. The biggest payday lenders in Texas are Advance America, Speedy Cash, Ace Cash Express, Check’n Go, Check into Cash. Quite a number of large cities of Texas are home to scores of lending companies: Austin, San Antonio, Dallas, Houston, El Paso, Fort Worth, etc. The law of Texas requires that all lenders be licensed and prohibits any violent acts against borrowers. There are quite a plethora of payday lending companies, who operate in both online and storefront modes.
Therefore, Texas is a place to be for lenders, yet something of a trap for borrowers, who are in danger of falling into the debt trap. Not uncommonly, annual percentage rates reach 662%, which is quite so high. It does not specify any limits to loan sizes of fees. Payday lending is flourishing in Texas, pretty much thanks to the state’s lenient law.