Don't Take the Bait: Costs of Payday Loan Apps
A nonprofit fundraiser supporting
Exodus LendingExodus Lending is shining a light on payday loan apps — the loan shark in your pocket.
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Exodus Lending is a financial justice nonprofit tackling predatory lending in Minnesota. We protect Minnesotans by refinancing high-interest debt and advocating for stronger consumer protections. This season, we’re shining a light on payday loan apps (aka earned wage access apps) — the loan shark in your pocket.
If you or someone you know needs assistance paying off an EWA lender, Exodus is here to help. Click the link below to learn more.
What’s the issue?
Earned Wage Access (EWA) loans function like payday loans, trapping workers in cycles of debt through repeated fees, tips, and overdraft charges. These charges are calculated out to triple digit interest rates. They erode the value of workers’ paychecks and remain unregulated in Minnesota.
What’s the cause?
The payday loan app industry markets its products as “financial empowerment” while profiting from scammy lending practices. Using friendly mascots and push notifications, they present these apps as helpful companions rather than high-cost loans. Meanwhile, industry-backed legislation has focused only on minimal registration requirements, leaving Minnesotans without real protections.
What’s the solution?
Regulate payday loan app lenders as small-dollar lenders. This means:
- Clear disclosure requirements
- Applying Minnesota’s 36% interest rate cap
- Enforcing consumer protection standards to prevent exploitation
With regards to Payday Loans Aps:
Treat payday loan apps like loans, not “innovations." Require the same oversight and protections as other lenders.
With regards to our G2TM campaign:
Our campaign builds collective power to advocate for fair regulations. We amplify the voices of workers and communities harmed by predatory financial products.
By donating to our Give to the Max campaign, your gift will directly help us 'sniff out and CATCH Earned Wage Access loan sharks.'
- $25 - Catch a Reef Shark (Albert)
- $50 - Catch a Blue Shark (Cleo)
- $100 - Catch a Bull Shark (Brigit)
- $500 - Catch a Hammerhead Shark (Earnin)
- $1000 - Catch a Great White Shark (Dave)
How can I support?
Join our community of fair lending advocates. Get involved by learning more about consumer protection issues, sign up for our advocacy alerts, and/or donate to Exodus and our 2025 Give to the Max Fundraiser.
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