Google is banning ads for payday loans from its ad systems in a move to stymie the effectiveness of predatory lenders. Ads for loans with a repayment due date within 60 days or an APR higher than 35% will no longer be allowed on Google’s networks, the search giant announced Wednesday.
“When reviewing our policies, research has shown that these loans can result in unaffordable payment and high default rates for users so we will be updating our policies globally to reflect that,” Google Director for Global Product Policy David Graff said in a blog post.
Among people who take out online payday loans, half end up paying penalty fees costing $185 on average, according to the Consumer Financial Protection Bureau.
The ban goes into effect on July 13. Facebook already bans payday loans, but some other large Internet sites, such as Yahoo, do not, according to the Washington Post.
More Must-Reads From TIME
- Jane Fonda Champions Climate Action for Every Generation
- Biden’s Campaign Is In Trouble. Will the Turnaround Plan Work?
- Why We're Spending So Much Money Now
- The Financial Influencers Women Actually Want to Listen To
- Breaker Sunny Choi Is Heading to Paris
- Why TV Can’t Stop Making Silly Shows About Lady Journalists
- The Case for Wearing Shoes in the House
- Want Weekly Recs on What to Watch, Read, and More? Sign Up for Worth Your Time
Contact us at letters@time.com