I disagree about the credit card. I am not an economist of course- but I grew up at a time when credit cards or unsecured loans did not exist. For the wealthy of course a credit card is not a big deal just a convenience. I grew up and lived for some years after at a time when if you did not have the money you did not buy! Credit cards were designed by the wealthy for the wealthy ( is that why it’s minor to you)? People bought things they could not afford ( when they were not wealthy) and racked up interest and debt that went into our economy. Allowing unlimited borrowing is irrational and corrupt. Allowing students to go into debt for their education these days is also corrupt. Before credit cards we did not have all of these problems at least after the Great Crash of 1929. Again, banks gave people who could not afford it loans to make investments when manufacturing was humming. Bad idea of course! When manufacturing slowed the banks crashed when they could not call in those loans and ran out of cash. Sound familiar?? It’s akin to the housing bubble that led to the shenanigans that led to the crash of 2008. Another bad bad idea. We need an updated version of Glass Steagall which was there until Clinton and his congress got rid of it behind the public’s back. Clinton says he was “regretful” that he signed that into law in 1999. Yeah, right. So… we do need a consumer financial protection bureau one that is not corrupt to guard the hen house.
Never got why the rethugs would intentionally set up conditions to have another crash.
Very low income people often do not even have bank accounts- rather they cash their checks at a store with an ID. They might not even have a license.
Payday lenders are douchebags, period. They all should be in jail or the very least put out of business. They are ALL low life hillbilly shitbags at the least, and at worst are hillbilly drug dealing, sister fucking pimps that at best should have jobs at McD’s or Wal Mart.
Edit to add: And those are their GOOD points. C’mon, bring it on you “payday” lenders, I can’t fucking wait!
Chattel slavery or prison.
What happened to the few crumbs…?
The only motivation I can imagine here is to maliciously and deliberately hurt poor people.
Does another 300 billion dollar bailout/handout, or a multiple of it in this case, (welfare for the rich), sound like reason enough? Billionaires view the purpose of the government they have purchased as a means to tax the poor and give to the rich. Exactly in the way mafia collects taxes from businesses on their turf. Otherwise referred to as reverse Robin Hood.
Let me give you an example I think you will appreciate. My parents bought a home in 1955. It’s the only line of credit they ever took out. Ever. Saved for everything they wanted or needed. After dad passed my mother took out one credit card to take care of bills. She never drove and still doesn’t. She has paid her credit card balance by the end of each month for many years. Has never paid any interest.
My wife and I have just one. Never use it accept to register for hotel rooms on line.
As I said, it is a responsible tool in the hands of responsible people.
While I was stationed at Ft. Lewis Wa. I heard about a guy in our unit who was a lifer and an alcoholic. I heard that if you lent him money he was always good for it on payday, and was willing to pay high interest.
I decided I would try to be a “payday lender” of the day and see if I could make some easy money. I waited until it was close to the end of the month and he would be in need.
I forget how much I lent him, it wasn’t a lot, and charged him 50% interest. He paid, and my conscience wouldn’t allow me to ever do that again.
And in the meantime people should find the services of credit unions. Az is one of the states looking into a public state bank and in the meantime there is a state credit union which provides satisfactory services.
Those of us who grew up in a household which practiced this rule and which also talked about the finance of running a household produced kids who understand the value of not buying on credit. It is amazing how many people are ignorant of money management and/or just addicted to instant gratification.
If you need a car to get to work and can’t afford or borrow from a friend for the repair you are going to lose your job because you don’t have 100-500 dollars extra. The trick is to pay back as soon as possible to avoid the interest and wasn’t able to get a card til 15 years ago. In the past I sold items at a loss to cover an emergency bill.
I hear you. I’ve had more of those scrapes than I care to remember.
Capitalism doesn’t work any way you serve it. There are less exploitative models, but all implementations of it are inherently exploitative.
Mick Mulvaney is a human piece of excrement.
Are you sure payday lenders are “hillbillys” . I’ve known some, who were Jewish and others, Gentiles from “developing countries” where old world values prevail, such as caste systems, generational debt, etc. the kinds of things that make athird world country what it is. But hillbillys in payday lending I’ve never met.
The People care, but they are powerless. That wealthy, young middle class of the 60s and 70s that could end a war and topple a presidency, is over. The American public are becoming third world peasants.
We can also see to it that the Postal Service reverts back to past days when it also offered banking services.
That race to the bottom, where corporations play the states against each other to compete to be the easiest whores for capital, is kind of like what FDR meant when he created the NLRB and referred to the industrialists’ game of “beggar they neighbor”.