My bounced check fee is $30 from my landlord, $30 from my bank.
My late rent fee is $30.
My late utility fee is $5, but if I paid by a bounced check, that would be $35. In other cities, it could be much higher.
The fee for not paying a fine on time can be a weekend stint in jail, whereby you will get charged for room and board.
The fee for not being able to pay for car repairs is losing your job.
The fee for not paying for needed medical attention when you aren't on insurance (Which, despite obamacare, many poor people lack) can be crippling.
Poor people, in aggregate, aren't stupid - they wouldn't use payday loans if the alternatives weren't worse. Yes, it shifts the problem a month out, and puts you in debt for ~$100 dollars. So would juggling your missed payments (Meanwhile, giving you a black mark against your landlord).
That's still better then having the problem today. And who knows? Next month, you may be a millionaire. Or dead. Better worry about that next month.
If you want to kill payday loans, the best way to do that is by giving everyone a living wage/income.
I agree poor people aren't stupid, you're projecting that on me. People who go to payday loan places are generally desperate. And desperation can often lead to irrational decisions. It seems like the major contention between us is that you believe that payday loans are good because in a vanishingly small percentage of cases they provide a net good. Virtually all of the data shows that in aggregate payday loans are a net bad.
> The fee for not paying a fine on time can be a weekend stint in jail, whereby you will get charged for room and board.
looks at this in complete puzzlement
I'm constantly amazed at just how broken the US system is in almost every possible way.
And just for the record, there is no such thing as payday loans in Europe. At the very least not in Germany. The first time I heard of these was when John Oliver did a segment on them.
My late rent fee is $30.
My late utility fee is $5, but if I paid by a bounced check, that would be $35. In other cities, it could be much higher.
The fee for not paying a fine on time can be a weekend stint in jail, whereby you will get charged for room and board.
The fee for not being able to pay for car repairs is losing your job.
The fee for not paying for needed medical attention when you aren't on insurance (Which, despite obamacare, many poor people lack) can be crippling.
Poor people, in aggregate, aren't stupid - they wouldn't use payday loans if the alternatives weren't worse. Yes, it shifts the problem a month out, and puts you in debt for ~$100 dollars. So would juggling your missed payments (Meanwhile, giving you a black mark against your landlord).
That's still better then having the problem today. And who knows? Next month, you may be a millionaire. Or dead. Better worry about that next month.
If you want to kill payday loans, the best way to do that is by giving everyone a living wage/income.