One of the best ways to avoid payday loan scams would easily be to avoid paying any upfront fees. Remember that given the immense competition in this space in recent times, a lot of the payday loan players have stopped seeking out any kind of upfront fees anyway.
In such a scenario, it becomes crucial that you avoid all such upfront fees and then pay up only when the loan is actually doled out to you. In fact at this time too, you can avoid all other fees apart from say processing fees which are likely to be charged anyway.
So what we are saying is that for instance if it is a question of interest which is due on the loan that you have sought, you can easily avoid paying that upfront. Instead what you can do is that you have the interest component built into the loan itself. That way only when you actually pay back the loan, you can commence with paying the interest on that as well.
The advantage of doing so is that you do not have a large sum of money to be paid up front. Additionally, you also avoid any payday loan scams which may otherwise be built in such a way that money is taken upfront and then there is seemingly little provision for you to recover the fees which have been collected from you.
One of the worst possible scenarios would be one where no loan is given to you and yet fees are collected. That would of course be a very big scam. Yet, remember that such scams are there and they do happen to real people like you.
So be aware and avoid paying any upfront fees till the loan is not confirmed and ideally not given out to you as well. Even after the loan is confirmed and sanctioned, negotiate in such a way that the interest and other possible charges (if any) are to be paid back subsequently, say built into the repayment installment which is worked out.
After all, at the outset, you NEED money – not have a lot of it to simply give back to the lenders! Once the money is in your hands, then there are umpteen possibilities which can be worked out…