Lenders garnisheed her wages. Collectors called daily by phone and in person. Civil lawsuits were filed against her. One lender, her records show, threatened to pursue criminal charges against her for writing bad checks but still offered to give her new loans if she paid off her old one.

"Finally, I filed for bankruptcy to stop it all. . . . I am still paying every month on those debts," she said.

"Even after everything that happened, I still get e-mails sometimes saying I am qualified for up to a $1,500 payday loan. I'm tempted, and then I slap myself," she said. "These loans are just as addicting as drugs, cigarettes and gambling."

Tammy Ruiz

Ruiz, of Saratoga Springs, says her experience with payday lenders has been good.

"I've had to obtain a few of those loans over a two-year period. I haven't had to extend any of them," she said. "It's often for emergency reasons, like pharmacy or medical."

She added, "I would rather go to a company like that than to borrow from a friend or relative."

She adds that she has no credit cards, even though the interest they charge is far lower than payday lenders: 18 percent APR compared to 500 percent.

"I don't believe in credit cards," she said, adding she has heard of too many people getting into deep debt with them and taking years to pay them off. She says payday loans allow her to get what she needs now and pay it back quickly.

"I weigh what I need it for. They have saved me a lot on fees from my bank. They are cheaper than fees for a bounced check," she said.

Ruiz said, "They are probably a last resort." She adds she has been treated well by pleasant, friendly people at the stores. But she says she is also working with a debt counseling service to improve finances and to avoid the need for such loans.

Megan Pedersen

Pedersen says when she faced tough financial times, she noticed the bright yellow or green awnings of payday lenders that seemed like they are on every corner. She took out her first payday loan seven years ago. She still uses them now.

"The first time I did it was to cover bills," she said. "It was to cover basic living expenses. My roommate at the time was unemployed, and I was working at a bar mostly for tips. It wasn't enough for utilities and rent."

She said, "I didn't want to go to my parents. I had borrowed from them in the past, and I wanted to prove my independence."

She eventually had some problems with such loans. She would often extend them at high interest because two weeks usually was not enough time to raise money to pay them off and still afford to live.