EVT1
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Post by EVT1 on Dec 30, 2014 1:37:16 GMT -5
Don't know about the rest of you but I heard there were more lenders than McDonalds- there are. The number one business in this country is fucking people out of their paychecks. I went down the damn street- twice as many or more people are ready give someone a payday loan than sell a product. Fucking predatory scumbags.
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dondub
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Post by dondub on Dec 30, 2014 2:12:23 GMT -5
Follow the money and see who owns them.
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EVT1
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Post by EVT1 on Dec 30, 2014 12:48:04 GMT -5
Banks own a lot of them.
I just noticed how bad it was when I was Christmas shopping- I went to the other mall the long way- and these things are on every damn corner, some side by side and that was pretty common too. I was disgusted. Where does it end?
www.cnbc.com/id/102213180#.
Guess it is true:
There are more payday lenders in the U.S. than McDonald's or Starbucks, reflecting economic conditions in which fast money is even more important than fast food.
Payday lending, in which users pay a fee for what amounts to an advance on their paychecks, has blossomed over the past 20 years. There are now more than 20,000 across the country, according to the St. Louis Federal Reserve, while McDonald's boasts 14,267 locations.
Legal usury- nothing less.
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AgeOfEnlightenmentSCP
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Post by AgeOfEnlightenmentSCP on Dec 30, 2014 14:22:02 GMT -5
How many fast food outlets of all kinds are there? McDonald's is just one, and this comparison is of ALL payday lenders vs. ONE brand name fast food chain. A ubiquitous fast food chain, to be sure, but you see how the numbers are manipulated. What this tells me is that payday lenders are excellent at meeting the demand for their services. They take on significant risk- which is why the rates are high. Anyone with a strong track record of consistent employment and repaying money lent to them can obtain a low interest credit card, even a 0% introductory rate for 6 months or a year. The fact is that Payday lenders exist to serve people who have exhausted the patience and risk tolerance of mainstream lenders. Would you prefer these people have NO ability to borrow?
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ՏՇԾԵԵʅՏɧ_LԹՏՏʅҼ
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Post by ՏՇԾԵԵʅՏɧ_LԹՏՏʅҼ on Dec 30, 2014 14:53:02 GMT -5
They also charge exorbitantly high interest rates - much higher than a bank loan. They pretty much rope the borrower in by giving a loan to someone who the banks have denied.
That person then ends up paying on interest charges for a very long time, before even getting the initial loan paid-off.
Payday Loan companies are basically legal loan sharks.
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EVT1
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Post by EVT1 on Dec 30, 2014 16:44:25 GMT -5
The fact is that Payday lenders exist to serve people who have exhausted the patience and risk tolerance of mainstream lenders. Would you prefer these people have NO ability to borrow? They exist to exploit the poor for profit. They are usurious institutions only getting away with it because of legal loopholes.
Just drive around any big city in the poorer parts of town- they are everywhere- and in those areas they probably outnumber all restaurants. While you will find a McDonalds everywhere- you rarely see payday lenders set up shop in the affluent areas- so take that into consideration when referring to the numbers.
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EVT1
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Post by EVT1 on Dec 30, 2014 22:07:57 GMT -5
And McDonalds sells salads- not going to keep them in business.
In a town like mine though- there are hundreds of them that will sell you a money order, mixed with pawn shops, title loans, check cashing, etc. It is just depressing to drive in some areas and see this kind of financial predation everywhere you look.
And although many pawn shops might be a symptom of an area, I do not consider them predatory.
It's really a question if usury should be legal or not- call it what it is.
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AgeOfEnlightenmentSCP
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Post by AgeOfEnlightenmentSCP on Dec 31, 2014 9:39:35 GMT -5
The fact is that Payday lenders exist to serve people who have exhausted the patience and risk tolerance of mainstream lenders. Would you prefer these people have NO ability to borrow? They exist to exploit the poor for profit. They are usurious institutions only getting away with it because of legal loopholes.
Just drive around any big city in the poorer parts of town- they are everywhere- and in those areas they probably outnumber all restaurants. While you will find a McDonalds everywhere- you rarely see payday lenders set up shop in the affluent areas- so take that into consideration when referring to the numbers.
That's your opinion. As to the video- a) I cannot stand Sarah Silverman's voice. I barely made it through Wreck It Ralph with the kids. b) Sarah Silverman is not an authority on anything save how to be an actress / comedian.
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AgeOfEnlightenmentSCP
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Post by AgeOfEnlightenmentSCP on Dec 31, 2014 9:48:57 GMT -5
And McDonalds sells salads- not going to keep them in business.
In a town like mine though- there are hundreds of them that will sell you a money order, mixed with pawn shops, title loans, check cashing, etc. It is just depressing to drive in some areas and see this kind of financial predation everywhere you look.
And although many pawn shops might be a symptom of an area, I do not consider them predatory.
It's really a question if usury should be legal or not- call it what it is.
You regard payday lenders as predatory because they do not represent the best terms for a loan. Are pawn shops the best place to get a loan, or to sell your goods? They must be predatory, too.
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ArchietheDragon
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Post by ArchietheDragon on Dec 31, 2014 9:51:16 GMT -5
Where is SHOTCALLER when you need him?
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mroped
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Post by mroped on Dec 31, 2014 9:57:09 GMT -5
Loan sharks that pay some taxes, that's what they are. They realy are all over the place. It is not a new practice. Most of income tax preparers-big ones- do the same. Something similar(loan sharks) pushed Hitler into all his hate and craziness. Hopefully, we as a society are more evolved and won't get there but who knows?
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zibazinski
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Post by zibazinski on Dec 31, 2014 9:59:38 GMT -5
Disnt the military try to get them away from where they are located due to the "kids" not having the sense to stay away from them?
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djAdvocate
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Post by djAdvocate on Dec 31, 2014 10:52:42 GMT -5
And McDonalds sells salads- not going to keep them in business.
In a town like mine though- there are hundreds of them that will sell you a money order, mixed with pawn shops, title loans, check cashing, etc. It is just depressing to drive in some areas and see this kind of financial predation everywhere you look.
And although many pawn shops might be a symptom of an area, I do not consider them predatory.
It's really a question if usury should be legal or not- call it what it is.
You regard payday lenders as predatory because they do not represent the best terms for a loan. Are pawn shops the best place to get a loan, or to sell your goods? They must be predatory, too. bottom feeders are kinda loathsome, imo. but in a capitalist society, we tolerate them. just try not to gush too much.
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ArchietheDragon
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Post by ArchietheDragon on Dec 31, 2014 11:17:13 GMT -5
They are regulated.
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Spellbound454
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Post by Spellbound454 on Dec 31, 2014 11:36:39 GMT -5
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djAdvocate
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Post by djAdvocate on Dec 31, 2014 12:48:20 GMT -5
unlike you, who is wild and free.
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ArchietheDragon
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Post by ArchietheDragon on Dec 31, 2014 12:49:14 GMT -5
unlike you, who is wild and free. I rock out with my rooster out.
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EVT1
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Post by EVT1 on Dec 31, 2014 14:46:18 GMT -5
That's your opinion. As to the video- a) I cannot stand Sarah Silverman's voice. I barely made it through Wreck It Ralph with the kids. b) Sarah Silverman is not an authority on anything save how to be an actress / comedian. Umm- the video is a comedy piece.
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AgeOfEnlightenmentSCP
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Post by AgeOfEnlightenmentSCP on Dec 31, 2014 15:38:40 GMT -5
You regard payday lenders as predatory because they do not represent the best terms for a loan. Are pawn shops the best place to get a loan, or to sell your goods? They must be predatory, too. bottom feeders are kinda loathsome, imo. but in a capitalist society, we tolerate them. just try not to gush too much. Well, you can call them bottom feeders- but then you have to admit their clients are shit. You know, to complete the metaphor. In all seriousness, though- the beauty of free market capitalism (and I'm not saying we have anything like it now, or that there's ever really been free market capitalism) is that there would be a place for everyone in the market at a price point that was appropriate / mutually acceptable for all participants. I don't have anything against payday lenders mostly because when I look at what they do, and examine the idea of making all this obscene money (I'm all about making obscene profits) I see a heck of a lot of exposure for not much in return. I don't know if you remember ShotCaller or not- but we went back and forth via email on the topic for quite awhile. Didn't appeal to me.
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AgeOfEnlightenmentSCP
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Post by AgeOfEnlightenmentSCP on Dec 31, 2014 15:39:49 GMT -5
This will result in fewer vendors to serve the market.
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Deleted
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Post by Deleted on Dec 31, 2014 23:47:42 GMT -5
That's your opinion. As to the video- a) I cannot stand Sarah Silverman's voice. I barely made it through Wreck It Ralph with the kids. b) Sarah Silverman is not an authority on anything save how to be an actress / comedian. Umm- the video is a comedy piece. It may be a "comedy piece"... but it was pretty accurate. "Anything else" is a good suggestion for someone looking into a "Payday Loan".
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Deleted
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Post by Deleted on Dec 31, 2014 23:49:30 GMT -5
bottom feeders are kinda loathsome, imo. but in a capitalist society, we tolerate them. just try not to gush too much. Well, you can call them bottom feeders- but then you have to admit their clients are shit. You know, to complete the metaphor. In all seriousness, though- the beauty of free market capitalism (and I'm not saying we have anything like it now, or that there's ever really been free market capitalism) is that there would be a place for everyone in the market at a price point that was appropriate / mutually acceptable for all participants. I don't have anything against payday lenders mostly because when I look at what they do, and examine the idea of making all this obscene money (I'm all about making obscene profits) I see a heck of a lot of exposure for not much in return. I don't know if you remember ShotCaller or not- but we went back and forth via email on the topic for quite awhile. Didn't appeal to me. Actually to complete the metaphor, one could say they are drowning and dying... (bottom feeders also consume the recently deceased and dying of the fish world)
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Deleted
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Post by Deleted on Dec 31, 2014 23:50:03 GMT -5
This will result in fewer vendors to serve the market. You say that like it's a bad thing...
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AgeOfEnlightenmentSCP
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Post by AgeOfEnlightenmentSCP on Jan 1, 2015 1:22:59 GMT -5
This will result in fewer vendors to serve the market. You say that like it's a bad thing... Well, it's never a good thing when the government interferes with a contract that two people would like to enter into. It doesn't mean they won't ultimately agree on something, but the government regulated / standardized contract-- along with it's attendant costs, requirements, and limitations won't be what either party would have preferred. Look at it this way- what does it cost to take unpaid time off? Or to lose your job? When you're working, but broke, and you need a $400 car repair, you need a $400 car repair whether you've got the money or not. You may have to pay back $450 in two weeks, and it may sound like a whole lot of money- especially when some consumer reporter, or politicians annualize the short term loan out to 300%. The alternative is that aforementioned lost work. What about the hot water heater, or the rent, or floating your bills so your water, gas, or electric doesn't get turned off and you get charged a $300 re-connect fee by the utility? As long as there are poor people, there will be snotty assed elitists who are convinced they know how poor people ought to be poor. There are those that think they know how to deal with difficult situations, they know what others should eat, what they should drive, what kind of home they should live in, how many gallons per flush their toilet should have, what kind of light bulbs they ought to use- and it will never end.
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Spellbound454
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Post by Spellbound454 on Jan 1, 2015 8:32:11 GMT -5
The concern is that people are getting ripped off by high interest rates and a debt that multiplies rapidly with a late payment. There are about 30,000 people who haven't had the correct credit checks and who are now trapped in a spiral of high interest debt because they have defaulted. They are then given the option to extend the time (roll over) at these extortionate rates.... or extend the loan but it gets so big that they simply can't afford it.
The debt retrieval is aggressive and distressing for those involved.
example....."However, if a loan is not repaid in time or is rolled over the cost quickly grows. A £200 loan taken from the biggest short-term lender, Wonga, over 15 days costs £235 to repay, but after 60 days the debt has increased to £327"
It has been regulated at government level to protect people from getting in to these difficulties.
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Shooby
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Post by Shooby on Jan 1, 2015 8:42:10 GMT -5
So, don't use them?
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Shooby
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Post by Shooby on Jan 1, 2015 8:47:50 GMT -5
I agree. We used to have laws about Loan Sharking. Well, now cc's and all these lenders can charge whatever exorbitant interest rates they want. And, if not just interest then late fees, etc. That is why if you are going to use credit of any kind or take out loans you better truly read the fine print and know what you are doing.
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mollyanna58
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Post by mollyanna58 on Jan 1, 2015 9:02:45 GMT -5
because they have defaulted = reason for high interest rates.
And, yes, having a bill collector call can be distressing. It can be avoided by paying the debt as agreed when voluntarily taking out the loan.
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Spellbound454
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Post by Spellbound454 on Jan 1, 2015 9:13:48 GMT -5
but the people who are being targeted are those with poor credit ratings
If you desperately needed £200 you would normally put it on your overdraft... or your credit card. but if you cant do that you might turn to a pay day loan.
Its attracting the most vulnerable in our society and leaving them in difficulty and that can't be right.
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OldCoyote
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Post by OldCoyote on Jan 1, 2015 9:18:35 GMT -5
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