High prices can cause a financial obligation trap for customers whom find it difficult to settle payments and remove loans that are payday.

Customer advocates for decades have actually decried payday advances as a costly solution to borrow and another that keeps individuals caught in a period of high-interest financial obligation. The howls of protest could develop louder now than a significant bank has stepped ahead having a product that is similar.

U.S. Bank, the fifth-largest bank nationwide, is lending as much as $1,000 to cash-strapped customers through its Simple Loan system.