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Because the borrower is out of options, and will have to resort to engaging in an interest based transaction, whereby he is exploited by the lender. It's not re
by apta 6y ago
Because the borrower is out of options, and will have to resort to engaging in an interest based transaction, whereby he is exploited by the lender. It's not really voluntary at that point. Do you think anyone in their right mind wants to be on the paying side of an interest based loan?
- beervirus 6y agoI mean we're not just talking about sketchy payday lenders here, right? You're also saying that Fortune 500 companies that issue bonds are being forced into doing so by whoever's buying those bonds. That's crazy though. There are plenty of reasons that a company might prefer to issue debt instead of selling more equity.
- apta 6y agoSketchy or not, they're using the same immoral and parasitic principal to operate. I mentioned in another post how usury is so ingrained in today's financial systems by means of bonds, options, CDs, debt for debt, and so on. It's not trivial to explain in a paragraph or two. By issuing debt, especially when not in dire need, the borrower is enabling others to engage in said parasitic practices.
- beervirus 6y agoYou have some very peculiar ideas about morality.
- deleted 6y ago[deleted]
- apta 6y agoYou agree that loan sharks are immoral, but when banks do the same they're not immoral? It's literally the same behavior, but in a way that is "blessed" by the government (which includes bribery, I mean lobbying). Hopefully it made people think about the current corrupt system we live in. They put band aids on the problems they have, without addressing the actual underlying causes, which means that things won't get solved.
- beervirus 6y agoI didn’t agree that loan sharks are immoral. Even a loan shark makes his borrowers strictly better off by giving them an option they otherwise wouldn’t have.
- apta 6y agoA loan shark makes his money literally by feeding off the poor, I don't see how that is not immoral. The moment a proper support system is in place, they'll disappear.
- beervirus 6y agoThat’s hardly his fault. And if the loan shark weren’t there providing his service, his clients would be strictly worse off. He’s not forcing them to borrow money—he’s offering, and they’re free to say no.