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> I am trying to determine why it would be and how no start-up has recognized the "market inefficiency" and opened a "we specialize in loans to black and hispan

> I am trying to determine why it would be and how no start-up has recognized the "market inefficiency" and opened a "we specialize in loans to black and hispanic people" and made billions and billions of free dollars currently being neglected. Because money service licenses are expensive and require capital from the same group that would balk at this business plan Secondly auto loan commissions are GREAT, the pie from people who arent getting denied is still large enough to make enough free dollars Third, minorities that are denied still have a variety of institution to go to that will more likely lend, such as credit unions who will lend on more favorable terms anyway (so your startup MAY exist?). We dont have data on the whole lifecycle of peoples user experience. Sorry that people were so distracted by your question that you couldnt get an answer.

mhuffman 8y ago
Thanks, those are reasonable theories. I think the third one seems most likely to answer my question ... minorities are actually getting the loans that they are qualified for, but have to apply more times than an equally qualified white person due to racism. It is still baffling to me that a bank officer, or car dealership salesperson would purposely decrease their own income, forgo their own bonuses, and risk the ire of their supervisors and investors to purposely not give a loan to a black or hispanic person ... all with no "rational" reason, even a warped rational reason, they just would do it because ... well no reason! This would have to show up to the management during analytics. I know plenty of racist people in the south, but none of them would risk their livelihoods or income just to be racist, they would just shut the hell up, "take it", then bitch about it back at home or around their friends while getting drunk. And then I think of large corporations that are literally willing to fuck over babies, children, women, hell the whole planet, for money, and to think that they would be willing to lose money to be racist is hard to square. I guess I have an impression that greed is a bigger driver in people's lives than racism ... but perhaps not, we do have this data (which I haven't seen the raw data, but don't doubt it) that seems to indicate otherwise. The irony of it all is that if these people really do hate minorities, there is no legal way to have more power over them, or to fuck them over, I guess, then to keep them in debt!
- gammateam 8y ago
  > minorities are actually getting the loans that they are qualified for, but have to apply more times than an equally qualified white person due to racism. We dont actually know that either. We know of some institutions that create this user experience, and we know that this is therefore a possible ux that minorities should be aware of

mhuffman 8y ago

Thanks, those are reasonable theories. I think the third one seems most likely to answer my question ... minorities are actually getting the loans that they are qualified for, but have to apply more times than an equally qualified white person due to racism. It is still baffling to me that a bank officer, or car dealership salesperson would purposely decrease their own income, forgo their own bonuses, and risk the ire of their supervisors and investors to purposely not give a loan to a black or hispanic person ... all with no "rational" reason, even a warped rational reason, they just would do it because ... well no reason! This would have to show up to the management during analytics. I know plenty of racist people in the south, but none of them would risk their livelihoods or income just to be racist, they would just shut the hell up, "take it", then bitch about it back at home or around their friends while getting drunk. And then I think of large corporations that are literally willing to fuck over babies, children, women, hell the whole planet, for money, and to think that they would be willing to lose money to be racist is hard to square. I guess I have an impression that greed is a bigger driver in people's lives than racism ... but perhaps not, we do have this data (which I haven't seen the raw data, but don't doubt it) that seems to indicate otherwise. The irony of it all is that if these people really do hate minorities, there is no legal way to have more power over them, or to fuck them over, I guess, then to keep them in debt!

gammateam 8y ago
> minorities are actually getting the loans that they are qualified for, but have to apply more times than an equally qualified white person due to racism. We dont actually know that either. We know of some institutions that create this user experience, and we know that this is therefore a possible ux that minorities should be aware of