What Is True About Payday Loans Everfi?
Last updated on April 19th, 2025 at 10:12 am
Hi There!
My name is Randy and I work with Ready Payday Loans. I got a new question from a reader this week. I will be honest with you, I did not know the answer, so I had to Google it myself. The question was:
What is true about payday loans Everfi?
The first thing I thought was — what the heck is Everfi?
Fortunately, I know a lot about payday loans. Working with the fine folks here at Ready Payday Loans, I’ve learned plenty over the years. I answer reader questions about payday loans, no credit check loans, bad credit loans, personal loans, installment loans, short-term loans, cash advances, emergency loans, you name it.
But this time, I had to start with some research.
What Is Everfi?
Everfi is developing the next generation of financial literacy courses, programs, and learning tools. They provide free, interactive modules that help students understand how to budget, manage debt, and make smart money choices. These courses are often used by schools, governments, and community programs.
So this was pretty cool, what I found out. Everfi has courses that teach students about financial literacy.
One of the quiz questions in their personal finance section goes like this:
“What is true about payday loans?”
So naturally, students have been Googling:
Which of the following statements is true about payday loans?
What is true about payday loans, Everfi?
It turns out the quizzes are hosted on an interactive platform called Quizizz, where students from K to 12+ can engage with all sorts of topics — from Algebra to Zoology.
For this payday loan question, the possible multiple-choice answers are:
- They are harder to pay back because of low fees and higher interest rates
- They are harder to pay back because of high fees and high interest rates
- They are easier to pay back because of lower fees and higher interest rates
- They are easier to pay back because of lower fees and lower interest rates
The correct Everfi answer is:
They are harder to pay back because of high fees and high interest rates.
Why Do People Use Payday Loans?
Most borrowers take out payday loans due to urgent or emergency expenses. According to national data, here’s a breakdown of the most common reasons:
Top Reasons Include:
Unexpected travel or family needs
Emergency expenses (car repairs, medical bills)
Rent or utility payments
Shortfalls in income before payday
Payday Loan Usage Over Time
Payday loan usage in the U.S. changes depending on the economy, unemployment rates, and new legislation. Here’s a look at how payday loan borrowing has trended over the years:
Average Payday Loan APR by State
APR (Annual Percentage Rate) is a critical way to compare loan costs. And payday loan APRs are sky-high. Here’s a quick comparison:
| State | Average APR |
| Texas | 664% |
| Nevada | 652% |
| California | 460% |
| Florida | 304% |
| Idaho | 652% |
Myth vs. Fact: Payday Loans
Let’s separate the truth from the myths:
| Myth | Fact |
| Payday loans are cheap | Most charge APRs over 300% |
| Easy to pay off | Many borrowers roll them over repeatedly |
| Heavily regulated in all states | Some states have no limits on fees or interest rates |
| Good for building credit | Most payday lenders don’t report to credit bureaus |
Real-Life Example: What a Payday Loan Costs
Let’s say you borrow $300 for two weeks with a 300% APR.
| Loan Amount | APR | Term | Total Repayment |
| $300 | 300% | 14 days | $345 |
That’s a $45 fee in just two weeks. If you roll it over even once, that cost jumps again.
Final Thoughts On: What Is True About Payday Loans Everfi
I like to be honest with our readers. I didn’t love how these questions were worded — maybe it’s because I was never great at multiple-choice tests. You can read all four options and still feel unsure.
There’s a lot to know about payday loans. When I first took one out, I didn’t know much about repayment or the costs involved. That’s why I try to break things down here.
💡 Randy’s Tip: If you’re ever unsure, compare interest rates and ask questions. What looks like a quick fix can easily become a financial trap if you’re not careful.
If you’re considering taking out a payday loan or just want to ask a question, feel free to get in touch with us. Either myself or one of my team members will respond, usually within 24 to 48 hours.
Thanks for reading this article on: What is true about payday loans Everfi
Until next time!
—Randy
