Why has Google blocked Payday Loan Ads?
As said by Google, “Effecting from July 13, 2016: the ads related to payday loans will be banned on search result pages. It will also effect on some product ads related to the same field. This prohibition is specifically for the payday loan offers which has repayment terms due within 60 days of the loan issued”. If a loan has an APR (Annual Percentage Rate) is higher than 36%, then ads for such loans will also block by Google. This update happened because Google found that such loans result in unaffordable payments and default rates are high. Google has immediately updated its policies for the Global Search Results regarding this.
“The motto of Google Ads is to connect people with interesting and useful business, brands, and products”, says Google. But some products or offers are harmful or misleading its users, and so Google has made an extensive set of policies. The search giant has banned over 785 million ads in 2015 only. The reason was ranging from phishing to counterfeiting.
How will it effect on payday loan offering companies?
Truly speaking, many businesses would have to face a big decrease in their revenue. Because the number of fraud companies is higher than the number of real companies which offer an affordable and valid type of Payday Loan. The companies who have APR less than 36% should not bother much unless they start misleading their customers to increase their financial growth.
There are many good sites in the market offering a long term repay at low and fixed rates. A few sites offer Payday Loans with same day cash and repayment period of 90 days or more. They offer full term to repay your loans or pay all the debts early without paying any prepayment penalties! Such companies have excellent customer satisfaction ratio and as a result, Google would not be looking for blocking ads of such payday loan companies or products.
You should be realistic when you consider taking a Same Day Payday loan. Because the terms of repayment of such loans are shorter than that of standard personal loans. The loan amount has limits, and the repayments can become higher due to more interests. You should check all the terms of the payday loan offering company before applying for a loan approval.
Any reason behind blocking the payday loan ads, it will surely make a positive effect on customer satisfaction as well as establish to take further more recognisable payday loan lenders in the market. The companies looking for long-term services with customer-friendly offers will undoubtedly receive benefits here.