<prompt> Human: On my way to work I was listening to radio and an ad for speedy cash came on. They offer you 2600 for the low price of just 7 a day sweet right?Guess again See the image attached.  <response>: While I am in no way a fan of these types of loans, they are high risk and intended to be short-term. 132 sounds really bad, but if the loan is paid off in 1-month, you only earn 11. If 1 out of 10 of those loans fail to pay off what they owe, youve lost money.In other words, short-term, high-risk loans with low interest rates are not profitable. I dont know that these types of loans should be made illegal outright. A one-time short-term loan isnt such a bad thing if paid off on-timethough I truly believe most people would be better off trying something else first. The bad comes when people get stuck in a cycle of payday loans. IMO laws should focus on making illegal practices that encourage consumers to end up in that cycle. edit: Though as utezoatlipoca mentions, there tend to be lots of loopholes with current laws that try to do this.Build a 3-6 month emergency fund so that you are never in a position where one of these loans sounds like the least bad option. 