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The company in question does not cash checks; it makes high-interest, short-term loans. A valid checking account is actually a requirement to receive such a loa
by cia_plant 18y ago
The company in question does not cash checks; it makes high-interest, short-term loans. A valid checking account is actually a requirement to receive such a loan.
http://www.cashnetusa.com/how-it-works.html http://www.cashnetusa.com/how-it-works.html
I agree that payday lending probably can't be done that much cheaper. Competition does tend to keep profits low for most businesses. However, if the only loans which can profitably be made in a given market are extortionate, then I don't think that loans should be made in that market.
It's business, sure, and I do live with the fact that the world is full of businesses which profit by taking advantage of others, but I don't have to respect the kind of person who starts such a business.
- dantheman 18y agoSo you'd rather see someone get fired, because they don't have the cash for some repairs to the car? Sure the price of the loan may be high, but in general these are risky loans and can be used when a person is in a tight spot.
- carbon8 18y agoSo you'd rather see someone get fired, because they don't have the cash for some repairs to the car? Sure the price of the loan may be high, but in general these are risky loans and can be used when a person is in a tight spot. That's not usually what it is. People use it once or twice and get addicted. I'm not saying these services shouldn't exist (I'm personally heavily invested in the collections industry), but the parts of the credit/loan industry that target these markets are very analogous to drug dealing because they primarily profit off of people stuck in the cycle. Also importantly, the companies have all the power, they have the law on their side and can navigate the court system.