Some big lending companies issue bonds to finance their operations. And, ironically enough, these bonds are _high yield_, meaning market does not trust that th

Some big lending companies issue bonds to finance their operations. And, ironically enough, these bonds are _high yield_, meaning market does not trust that these companies are making money hand over fist. Any negative macroeconomic shock (like recession) can easily raise average loan default rate 2-3x and sink payday lender business in a single quarter. Such is life.