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So for corporate America, It's basically open season on the misinformed and undereducated poor? This sounds a lot like predatory lending - There is a good cha
by _nedR 11y ago
So for corporate America, It's basically open season on the misinformed and undereducated poor?
This sounds a lot like predatory lending - There is a good chance, the retailer is counting on these people to default so that they can sell the couch at 1000$ retail to the next gullible person who walks in.
EDIT: I am not saying this should be illegal. Clearly, Buddy's is offering a useful service to people who are turned away by other establishments. But there needs to be some regulation. You shouldn't be able to charge $4500 for a 1500$ couch.
- baddox 11y agoYou seem to be implying that it's financially feasible to offer better financing options to poor people. Is that the case, given the obvious risks?
- _nedR 11y agoI don't know. That's why we need to shine more light on this industry. Who knows? This might be a viable target for something cooperative scheme like microfinance (which has the advantage of low interest rates, high recovery rates, mutual benefit and general social upliftment).