Looking for a cash advance on your paycheck? Payday lenders have become an easy and instant solution to financial crisis, but, WATCH OUT! Payday loans are designed to create a debt trap

The PayDay loan promises to borrowers, yet hurts them instead.

To qualify for a payday loan, a borrower only needs personal identification, a checking account, an income from a job or government benefit, like Social Security or disability payments.

Typically a borrower writes a personal check for $100-$300, plus a fee, payable to the lender. The lender agrees to hold onto the check until the borrower's next payday, usually one week to one month later; only then will the check be deposited. In return, the borrower gets cash immediately. The fees for payday loans are extremely high: up to $17.50 for every $100 borrowed, up to a maximum of $300. The interest rates for such transactions are staggering: 911% for a one-week loan; 456% for a two-week loan, 212% for a one-month loan. (Consumers Union, Non-Profit publisher of Consumer Reports; www.consumersunion.org)

This short repayment term makes it nearly impossible for cash-strapped borrowers to both repay their loan and meet basic needs, such as paying rent and buying groceries. Because of this, many payday loans go to repeat borrowers who are unable to meet the impossible terms. Payday borrowers are forced to pay the interest weekly, or monthly, and then start again to avoid default, getting trapped in this cycle of debt, often for months or years. Fees from these trapped borrowers are the lifeblood of the payday lending industry. The financial success of payday lenders depends on their ability to cultivate repeat borrowers.

There are many alternatives to payday loans such as: a payment plan with creditors, advances from employers, credit counseling, emergency assistance programs, overdraft protection at a credit union or bank, cash advances on credit cards, military loans and small consumer loans.