I do not agree with the strategy, but I am not sure I would go to bat for a payday lender even if the owner was a Marine without assessing the fairness and appropriateness of their business practices.
I do not agree with the strategy, but I am not sure I would go to bat for a payday lender even if the owner was a Marine without assessing the fairness and appropriateness of their business practices.
If there are problems with the fairness or appropriateness of their business practices, such issues should be dealt with. I think the issue we see here is that the federal government is taking a heavy handed approach, to try to shut down a legal business, without regard to the issues you mentioned.
I am shocked when I hear about the high interest rates and fees of the payday lenders. But, as long as such businesses are legal, I just don’t see how it’s the business of the federal government to go in and deprive them of banking services.
Payday lenders provide a real service to those at the very bottom of the economic scale. The interest rates seem high, but only because the loans are very small.
Economists who look at the industry find that it makes perfect sense for very small borrowers to use payday lenders. If we drive them out of business, the need will not disappear. It will be filled by organized crime...