Much has been said and written about payday loans, but none so compelling and thought-inducing as the notion that this short term cash alternative is expensive beyond reason. A news piece on Financial Times has once again impelled a discourse on the obvious advantages combined with the perceived ‘hidden’ evil of a payday cash loan. Well, the calculations are quite conclusive in themselves, albeit critics say otherwise. An interest rate of 25 pounds for a 100-pound loan (a total repayment amount of 125 pounds), if you borrow for a period of 30 days, sounds reasonable enough. The APR extrapolation, however, can be misleading, we agree.