I typically agree with your statement. However, you need to remember that sometimes people are in a financial situation where a payday loan is their best/only option. For example, if you have a credit card that is due tomorrow and you can’t make the payment, your interest cost may be lower if you took out a payday loan vs the late payment + increase in your interest rate on your credit card.

In general, you don’t want to have to take out a payday loan, but there are times when they can be a helpful, albeit very short-term, solution.