If the holiday spirit led you to overspend this season and nowyou’re left squeezing your remaining dollars until payday, don’tresort to a payday loan as a solution, a University of Georgiafinancial expert warns.”Payday loans are VERY expensive credit,” said Michael Rupured,an Extension financial management specialist with the UGA Collegeof Family and Consumer Sciences. “Payday loans, also known as “cash advance loans” and “directdeposit loans”, generally target low-income, less educated, andnon-English speaking people, said Rupured. Think long and hard before you sign upThe best advice for someone looking for a short-term loan is toevaluate the options and the consequences. “Think long and hard before considering a payday loan as anoption,” Rupured said. “Other options include borrowing from arelative or friend, bartering for the needed product or service,or saving to purchase at a later date.” By Sharon OmahenUniversity of Georgia Unbelievably high annual percentage rates”The Annual Percentage Rate on these loans, on average, rangesfrom 300 to over 1000 percent,” he said.The requirements for these loans are minimal; you must havea checking account, a steady job and earn at least $1000 a monthin income. The loan funds are typically deposited directed intoyour checking account. “In most instances, people who cannot get a loan from atraditional lending institution will be approved for a paydayloan,” Rupured said. “However, these people may have seriousproblems paying back a high-fee loan so fast. The fee is often$20 to $30 per $100 borrowed.”Once the term of the loan has been reached (usually when youreceive your paycheck), the company withdraws the loan amount,plus a fee, from your bank account. “In many cases, the borrower can’t pay back the loan because hispaycheck will not cover the amount borrowed and the fee,” hesaid. “Borrowers may then get a loan extension, which adds morefees and puts them into deeper debt.”
Press Association Chelsea, who agreed a 10-year kit deal with adidas worth in the region of £300million in June 2013, said the size of the deal with tyre manufacturer Yokohama Rubber was commercially sensitive. But it has been reported the five-year contract is worth £40million per season, second only in the Premier League to Manchester United’s deal with United States car manufacturer Chevrolet, which is worth a reported £47m per season. Yokohama Rubber replaces Korean electronic giants Samsung, which has sponsored Chelsea since 2005 in a deal which was re-signed in 2013 and worth a reported £18m. A Chelsea statement read: “Chelsea Football Club is delighted to unveil The Yokohama Rubber Company Ltd as our new official shirt partner in our largest-ever commercial deal. “This places Chelsea right at the top of European football, with one of the biggest shirt sponsorships ever signed. “This partnership with one of the world’s leading tyre manufacturers is for an initial term of five years and begins at the start of the 2015/16 season. “It will see the Yokohama brand appearing on all of our shirts from our first team to our youth teams.” The agreement was concluded on Thursday, four days before Chelsea play Tottenham in the Capital One Cup final. Yokohama Rubber chairman Tadanobu Nagumo flew to London from Tokyo to appear in an official launch photoshoot with Chelsea chairman Bruce Buck, manager Jose Mourinho and captain John Terry. Terry’s contract expires at the end of the season and his presence suggests his standing remains strong at the Blues, who are likely to extend his deal for a further year. Chelsea hope the shirt deal will help the club, owned by Russian billionaire Roman Abramovich, in their bid to be self-sufficient. Chelsea plan “to be one of Europe’s leading football clubs with a self-financing model which is fully compliant with the UEFA Financial Fair Play rules”, the statement added. Former Liverpool chief executive Christian Purslow was influential in the deal after joining Chelsea as head of global commercial activities last October. Buck said: “We believe that Yokohama will play a key role in helping us drive our global expansion in international markets such as the US, where they have operated with distinction for many years. “Also, of course, Chelsea having such an esteemed and historic Japanese company as our partner enables us to accelerate our development in their home market too.” Nagumo added: “This shirt partnership with Chelsea will give Yokohama an opportunity to showcase our company to a huge worldwide audience thanks to Chelsea’s ever-growing popularity. “We look forward to launching our iconic new Chelsea Yokohama shirt this summer.” Chelsea will likely make Japan a key future destination on pre-season tours, although the arrangements for the 2015 summer tour are understood to already be in place and do not include a trip there. Buck added: “I would also like to express my sincere gratitude to Samsung, with whom we have had a successful and rewarding relationship since 2005. “Chelsea has demonstrated through that 10-year partnership that we can play a critical role in helping our partners achieve their global growth objectives. We look forward to accomplishing similar success with Yokohama.” Chelsea have announced The Yokohama Rubber Company Ltd as their shirt sponsor from next season in a five-year deal which is the Premier League leaders’ largest commercial deal to date.