8 ms·

It's super creepy and the interest rates are outrageous; but you have to give it to them, public shaming as a collateral is good "outside the box" thinking.

• dogma1138 10y ago
  Not really, public shaming especially in Asia societies is about as harsh as it can get.
  • masklinn 10y ago
    Also opens the door to blackmailing regardless of the loan status.
• peteretep 10y ago
  But ... what are they being shamed for? I don't think I'd want anyone to have naked photos of me, but there's a gigantic difference between a picture of me engaging in "shameful" behaviour, and simply a naked photo of me that's been used for collateral ... isn't there?
  • fnordsensei 10y ago
    There's a cultural difference. Some things that "a westerner", broadly speaking, might consider an inconvenience can effectively be a life-long chain around the neck in other cultures. I really hope this is not the case, but I fear we might see a follow-up on this article discussing suicides connected to these kinds of loans.
    • astrobe_ 10y ago
      "Money wounds are not lethal" as we say. Or they shouldn't be.
  • Broken_Hippo 10y ago
    The shame bit is a cultural difference, so it wouldn't have quite the same impact. Not that it wouldn't be uncomfortable. I mean, you get this loan for education. Then you get sick or something and can't pay it back. Suddenly they are threatening to send that same picture to your parents and your workplace with the note that it is your penalty for not paying your student loans on time. And the truth is that I could explain it to my mother. My brother? Yeah, that's going to be an awkward conversation but I'd get over it. A discussion on this with a male boss (I'm female)? Yeah, that's going to be uncomfortable for some time.
    • peteretep 10y ago
      So if someone installed a hidden camera in your house, and tried to exhort you for money with videos of you showering, is that the same thing? If not, where's the difference?
      • nsomaru 10y ago
        Someone installed a camera into your house with your consent as part of a loan-scheme designed to get you to pay back your loan (viable or not) or risk release of videos of you showering vs Someone installed a hidden camera in your house, and tried to exhort you for money with videos of you showering
      • Broken_Hippo 10y ago
        Nope. Pre-acceptance of the terms and conditions is different from being victimized, assuming you mean that I didn't know about the videos in your example. In both cases I can somewhat make the embarrassment minimal by just being upfront with folks. In the case of debt, however, the reason for the pictures is because I didn't pay the debt. It doesn't matter if it was preventable or accidental, i'm still the guilty party. Not only do you have the photos, but you have outsiders knowing your financial affairs. Nothing can be done if you don't have money. In your example, someone had to install that camera without permission then come forward to try to get money. I could call the police. I could forewarn folks about getting such an email. I have options. Not only that, but people are more likely to see that I've been victimized in some respect. Granted, I'm not for the naked photo bribery method of collecting debt, but it still is different situations.
  • jbtule 10y ago
    I think if you are a woman and they are going to release a naked picture with your name, address and cell phone number, the larger threat is going to be harassment, not just shame. The article makes a statement of both men and women of college age can do this, but only provides examples of women BTW.
• anexprogrammer 10y ago
  > good "outside the box" thinking. Really? I wonder how you'd see it if it was one of your offspring somehow getting caught up with such a bunch of loan sharks. Or it's their dodgy partner using their photos etc to get an easy few $$$. It's easy to say they wouldn't be so naive? Of my own offspring, they've all had their moments of teen stupidity. Fortunately nothing that's played out online or risked long term consequence. Yet. :) If they have confidence they might brush off everyone on campus knowing and seeing simply as a badge of honour. A more introvert, shy, personality or having the "blessing" of good religious and so often judgemental relatives might have their entire uni experience ruined, or worse. In a culture where sense honour and shame are far stronger. For the "wrong" personality or circumstance it's easily far more damaging than a traditional good kicking from the loan shark's heavies. Perhaps takes far longer to heal too.
  • icebraining 10y ago
    "Good" as in clever, not moral.
• kimshibal 10y ago
  how else student can show off new iphone 7 and hangout at cafes with LV?
• GFischer 10y ago
  Ha, you haven't seen really outrageous interest rates. Here in Uruguay banks have 40 to 50% annual interest rate, and the equivalent to payday lenders have over 100% annual interest rates. The interesting thing is that the U.S. dollar actually went down this year, so they had an even bigger interest rate in US dollars. Of course, there are periodic crises where lenders are wiped out (latest in 2002), and that "justifies" the predatory interest rates :( . But lending is huge here and it has made a lot of people rich. I really hope P2P lending takes off, a few startups are working on it here.
  • khedoros1 10y ago
    > Here in Uruguay banks have 40 to 50% annual interest rate The article mentions 30% weekly interest rates. That would compound quickly and overtake 40-50% annual rates pretty easily.
    • GFischer 10y ago
      You're right, I missed that one, I read the other one: 10,000 yuan borrowed on an annual interest rate of 24 percent within a week. Even the greediest moneylenders here rarely go beyond 10% weekly.