NBC has reported that the tougher economic situation is pushing many Americans to turn to high-rate web loans as local governments restrict pay day loans.

The typical online web loan has an average interest rate of around 30 per cent, according to the Consumer Federation of America.

As gas prices rise and increasing numbers of Americans struggle to make ends meet, many are turning to higher interest web loans as the solution.

The tightening of the availability of pay day loans, which use paychecks as collateral and consequently do not involve a credit check, has led more consumers to take out web loans, some of which charge up to 2,000 per cent interest.

Experts suggest that oil prices could continue to rise, potentially reaching $150 a barrel this year and that the high prices will not be enough to stem demand in developing countries, according to CNN.

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