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My understanding is that Walmart and Amex's bluebird program tried to make things a little bit better, but probably doesn't address all the fundamental structur
by hkmurakami 9y ago
My understanding is that Walmart and Amex's bluebird program tried to make things a little bit better, but probably doesn't address all the fundamental structural issues in place
- Banthum 9y agoIs it a "structural" issue? Or is it just the fact that, statistically, poor people are really unlikely to pay back loans, so loaning to them profitably means charging really high interest? Or is that a "structural" issue?
- thelock85 9y agoThe profit model is to fleece the most reliable customers.
- so33 9y agoBluebird (mentioned by the parent) is a checking account alternative (read: not a real, FDIC-insured bank account). No one's loaning anything in this case. It's designed to appeal to people who, for one reason or another, cannot afford to open even a basic traditional checking account. Edit: Before such ersatz-bank-account services proliferated, I believe it was common for poor people to cash their paychecks at a check cashing place (which costs time and money).