While many people may be in need of a loan, they may not look too fondly upon a payday loan. With so many myths and preconceived notions about the payday loan industry, the very same people who so desperately need money may pass on such loans simply because of a negative stereotype, when in fact a payday loan could have solved their troubles.

Let's take a look at 3 of the most common Payday Loans Myths in Canada, and the Truth behind them:

Myth 1: Payday Loans are only for the Poor or those with bad credit.

There are payday loans available to those who are less financially endowed then the average citizen, but in truth the notion that payday loans are only for the poor is completely a myth. So too is the idea that these loans are for people with such a low credit rating that they are denied from obtaining a loan from any other source. In fact, payday loans actually are targeted to people with an above average credit score and are at or near the average income level.

Payday loans are issued to those customers who show that they are going to be able to make good on their repayments.

Myth 2: Payday Loans Have 'Ridiculous' Interest Rates >>