9 ms·
Not to distract from the content of the piece, but she took a 300% loan? THREE HUNDRED PERCENT? Could she have gotten a better loan? I'm under the impression th
by johnloeber 11y ago
Not to distract from the content of the piece, but she took a 300% loan? THREE HUNDRED PERCENT? Could she have gotten a better loan? I'm under the impression that most banks offer loans at more reasonable rates.
Also, how is Yelp able to retain salespeople in the Bay Area if they pay only $2k/month? The salary is clearly under the cost of living.
On topic: please don't let all the particularities of this case distract you. The fundamental issue is that she was fired over a short absence due to a serious family emergency, all while ostensibly performing well at her job. That's not acceptable.
- lagadu 11y agoPerhaps she means 130%, which is already insanely high? I can't imagine even a loan shark practising 300%.
- deleted 11y ago[deleted]
- tunap 11y agoSome title loans (automobile) charge 10% per week, which if left unpaid, will amount to 520% per annum. Hence why payday loan stores compete for every corner in impoverished areas.
- darkr 11y agoMaybe it's $2k basic before commission (as sales salaries are often largely composed of commission), and that fact wasn't disclosed in this post?
- ktRolster 11y agoSo, she was selling $19k worth of stuff, and claimed she was doing a good job (let's assume she's correct). Her income was $2k. So that means ~10% of Yelp's revenue is going to salespeople. Is that normal? Do salespeople normally take 10% of every sale?
- darkr 11y agoI meant her alleged base income was $2k _before_ commission.
- Tiksi 11y agoPayday type loan at 300% APR maybe? Though generally you have to pay those back within a week or so afaik, so you don't actually pay 300%
- ktRolster 11y agoWow, I checked it out, I didn't realize it but payday loans can be up to 400%: http://www.consumerfinance.gov/askcfpb/1567/what-payday-loan.html http://www.consumerfinance.gov/askcfpb/1567/what-payday-loan... Brutal.
- gambiting 11y agoIn the UK, Wonga.com charges 1500% interest on payday loans. If you take it for longer than few days you are insane https://wonga.com/ https://wonga.com/
- stevetrewick 11y agoIn the UK payday loan interest rates are listed in terms of APR (anualised interest) because regulations stipulate it. A payday loan is a short term loan so the effective interest rate is lower. Still high - that's how the time value of money works, try getting a short term bridging loan from a retail bank (actually almost impossible, hence Wonga et al) - but not 1000%. Always provided that you pay it back on time, of course. It's true that taking one out without the ability or intent to pay it back within the window is irrational but people in dire straits are often subject to hyperbolic discounting effects.
- koder2016 11y agoThere is a lifetime of bad choices there, why be surprised at that one?
- prawn 11y ago"please don't let all the particularities of this case distract you." The bulk of your comment was about a loan she took out and a low salary!