I’ve been trying to figure out why we haven’t experienced any civil unrest in this country over the state of the economy and unresponsive government and this cartoon hints at the answer. People are complacent as long as the credit keeps flowing, but eventually it will hit some sort of saturation point and they will start repossessing all the oversized flat screen TVs and the bass boats – then watch out!
In Virginia, there have been a number of legislative fights over predatory lending. Republicans state that the lenders have a right to do whatever they want, and that removing them would create a hardship to those who would ordinarily not qualify for credit. Democrats counter that charging interest rates that add up to hundreds of percentage points per year is usury and predatory, and that the top interest rate should be limited. Republicans counter that if that’s done, the lenders will leave the state. So far, the Republicans are winning. Borrow fifty bucks, owe $300 in two weeks.
Take advantage of the desperate. Is that in the Bible somewhere?
People voluntarily choose to take out short-term loans when they think that it is to their advantage to do so. And in fact it often is. Closing off this source of credit would be a net harm to the poor. If you are looking to end an institution that takes advantage of poor people without a corresponding benefit, end state lotteries.
moosemin over 9 years ago
VOTE TODAY! VOTE!
3hourtour Premium Member over 9 years ago
…most of these loan shark operations are arms of the major banks…
avarner over 9 years ago
These outfits and the “rent to own” stores should all be closed.
What they are doing is usury.
OmqR-IV.0 over 9 years ago
In Britain they’re finally cracking down on the payday loan sharks that sprung after the 2007/’08 meltdown. No idea why it took so long.
lopaka over 9 years ago
If it is an incumbent, vote for the other one.
paynetom over 9 years ago
I’ve been trying to figure out why we haven’t experienced any civil unrest in this country over the state of the economy and unresponsive government and this cartoon hints at the answer. People are complacent as long as the credit keeps flowing, but eventually it will hit some sort of saturation point and they will start repossessing all the oversized flat screen TVs and the bass boats – then watch out!
I Play One On TV over 9 years ago
In Virginia, there have been a number of legislative fights over predatory lending. Republicans state that the lenders have a right to do whatever they want, and that removing them would create a hardship to those who would ordinarily not qualify for credit. Democrats counter that charging interest rates that add up to hundreds of percentage points per year is usury and predatory, and that the top interest rate should be limited. Republicans counter that if that’s done, the lenders will leave the state. So far, the Republicans are winning. Borrow fifty bucks, owe $300 in two weeks.
Take advantage of the desperate. Is that in the Bible somewhere?
TripleAxel over 9 years ago
People voluntarily choose to take out short-term loans when they think that it is to their advantage to do so. And in fact it often is. Closing off this source of credit would be a net harm to the poor. If you are looking to end an institution that takes advantage of poor people without a corresponding benefit, end state lotteries.
Elvanion over 9 years ago
Maybe if people learned to actually think for themselves and to do simple arithmetic, these places would not flourish.
No one forces people at gunpoint to get loans at ridiculous rates.
kaffekup over 9 years ago
The difference is that when you pay a buck for a lottery ticket, you don’t end up owing the lottery twenty bucks.Pretty simple.