Have loan domains? Your premium PPC revenue might plummet

When it comes to money, domain lowballers offer "stripper tips."

Google announced changes to loan related ads.

Parked domain names related to loans garner some of the highest pay per clicks (PPC) for a variety of keywords.

Additionally, searches for “loans” and “lending” are performed by individuals actively looking to establish new lines of credit. Such clicks, therefore, establish higher conversion rates for those service providers buying ads on the Google ad network.

If you own loan-related domains, your PPC is expected to plummet, all thanks to a new policy by Google, effective from July 13.

The 800-lbs gorilla of search engine and targeted advertising, is now pulling the rug from under a certain type of loan ads, those related to payday loans and “other related products.”

Google justifies their decision as part of a general cleanup of “harmful” ads on their network:

“In that vein, today we’re sharing an update that will go into effect on July 13, 2016: we’re banning ads for payday loans and some related products from our ads systems. We will no longer allow ads for loans where repayment is due within 60 days of the date of issue.

In the U.S., we are also banning ads for loans with an APR of 36% or higher. When reviewing our policies, research has shown that these loans can result in unaffordable payment and high default rates for users so we will be updating our policies globally to reflect that.”

The decision by Google to block such ad buyers will effectively drop the PPC rates it pays out to its downstream ads. This is also another nail in the coffin of parked domain names.

For more information on this decision by Google, visit the official Google blog.

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