Sunday, September 15, 2013

Payday loans (and other high interest lending) as repugnant transactions

In poor communities there is a profitable business of making very high interest rate loans to employed but "unbanked" workers. High interest rates (between lenders and apparently willing borrowers) have been repugnant transactions for a long time, and payday loans are no exception: here's a story from Pro Publica on the controversy in Missouri. The Payday Playbook: How High Cost Lenders Fight to Stay Legal

27 comments:

Graham Peterson said...

I lived for seven years above a currency exchange in Humbolt Park in Chicago -- a business which gets criticized similarly as payday loan shops (no worries: there was a payday loan shop a block away). But in between the payday loan shop and the currency exchange was a full service bank.

If the claim is that currency exchanges and payday loan shops charge usurious rates and fees, why wouldn't rational consumers substitute to the bank once it opened? I thought it would be interesting to just stand outside with a clip board and ask people.

Milton Recht said...

Many people dislike banks. Many people also see taking out a short term loan (or using credit cards) to buy groceries and to pay living expenses such as rent and utilities as repugnant even if the lender is a bank charging a much lower annualized interest rate than a payday lender.

Is a transaction (payday loans) a repugnant transaction when the solution (short term consumer bank loans) is also a repugnant transaction?

Anonymous said...

I agree with you. With the help of payday loans only it has now become easy to get cash for emergency.
24 hrs check cashing

Anonymous said...

HOW I GOT MY LOAN

Hello Everybody:
I am Braba Brown a resident/citizen of the United Kingdom.
I am 52 years of age and an entrepreneur/businesswoman. I once had
Difficulties in financing my project/business initially when I started
And a good friend of mine introduced me to Mr Phua Ahmed who is a Business

mogul/financier to get a loan from his company. When I Contacted them it took just 24

hours to get my loan approved and
Transfer to my account after meeting all their modalities as set forth in Their loan

agreement/terms and conditions.
If you need urgent financial assistance you can contact them today via
This email address:phuaahmed12@yahoo.com.sg
Name: Mr Phua Ahmed
E-mail : phuaahmed12@yahoo.com.sg

Unknown said...

GUARANTEE PERSONAL LOAN AVAILABLE
My name is Mr Phua Ahmed, We give out legitimate loans to serious individual or business firm that are in need of loans, We are ready to talk with you about how we can meet your financial needs Contact us now via email: phuaahmed12@yahoo.com.sg

Unknown said...

keep it up man...

Cash Advance Chicago

Unknown said...

Hi,

good information for those who really want to know about this. you an also find more information here.
To know more click here Payday loan fresno

Miss Joyce said...

Good Day.

I am out here to recommend the effort of Mr John Parker,I was in need of a consolidation loan amount of 250,000R and I got in contact with World wide loan on Wednesday last week and on Friday last week as well I receive an alert from my bank(Absa Bank) that the fund was transferred,I want everybody on this site to contact Mr John Parker now via email on how to get a loan because I got my loan from them and I am very happy,so contact them now.: Worldwideloanfundsplc@live.com
God bless Mr John Parker.
Thanks

John Stevens said...

INLAND ROYAL FINANCE FIRM
Address: Unit 2, Midleton Gate, Guildford, United Kingdom.
Registration number: SL156607
•••••••••••••••••••••••••••••••••
Greetings. This is to notify you that inland Royal Finance Firm now offers financial assistance to people who are down financially.
Loans Offered:
•All kinds of Loans.
Interest Rate:
•2%
Currency:
All kinds of currencies.
Collateral:
No Collateral.
Mode of repayment:
Grace Period of Five months.
Get your loan now!
Email: inlandfinancefirm@gmail.com
Inland Royal Finance Firm.....Birthing Your Dreams.

Woode Financial Services said...

WOODE FINANCIAL SERVICES.

Woode Financial Services is a Register / Accredited Financial Company Which Provides a high standard of financial (LOAN) services to private and corporate clients. Do you need funds as investors? Are you in financial mess? Do you need a loan? We offer loan from the range of $5,000 to $50,000,000 (USD, EUR, GBP) OR EQUIVALENT IN OTHER CURRENCIES its. We offer loan at an annual basic interest rate of 3% from a duration of 1 to 35 years to clients serious and trustworthy! Clients are require to pay back our loan repayment by monthly installment after 6 months of receiving his / her loan funds. Interested borrower is advice to forward request to us via e-mail: woodefinancialservices@gmail.com

Unknown said...

EQUITY TRUST FINANCE AGENCY
Address: 68 Euston Road London NW1 2DB
Registration Number: N190995
.........................................................
Welcome to Equity Trust Finance Agency applicant. This Organisation is setup and registered to assist people who are financially handicapped.
We give out loans from the range of $1000.00 in any currencies and above with 1.3% interest rate.
Our services are top notch, fast, reliable and Anti-fraudulent.
¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤
Please fill in your credentials on the form below.

Name................................................
Sex....................................................
Country.............................................
Age....................................................
Occupation........................................
Marital Status....................................
Next of kin.........................................
Phone Number...................................
Phone Number of Next of kin.....................................................
Monthly Income.................................
Address.............................................
Telephone..........................................
@@@@@@@@@@@@@@@@@@@@
Contact us today.
Our Email: mc694447@gmail.com

Unknown said...

Hello every one please i quickly want to use this medium to shear a testimony on how God directed me to a real loan lender who have transformed my life from grass to grace, from being poor to a rich woman who can now boast of a healthy and wealthy life without stress or financial difficulties. After so many months of trying to get a loan on the internet and was scammed the sum of $2,700 i became so desperate in getting a loan from a legit loan lender online who will not add to my pains,then i decided to contact a friend of mine who recently got a loan online, we discussed about the issue and to our conclusion she told me about a man called Mr Ben Elliot who is the CEO BEN ELLIOT LOAN INVESTMENT So i applied for a loan sum of ($70,000.00) with low interest rate so the loan was approved easily without stress and all the preparations where made concerning the loan transfer and in less than three(3) days the loan was deposited into my bank account i thought it was a joke until i received a call from my bank that my account have been credited with $70,000.00 i became so happy that finally god have answered my prayers by directing me to a real loan lender who was able to grant my heart desires. big thanks to Mr Ben for making life reasonable for me so i am advising everybody who is interested in getting a loan to kindly contact him via email ben.elliot92@gmail.com that was how i was able to get my loan, so i was able to pay off my bills. So thanks as you took out time to read about my success story and i pray god will also do his will in your life
I am Veronica by name.

MR DONALD WILLIAMS said...




FAIR FINANCE LOAN FIRM
HEAD OFFICE --Dalston 18 Ashwin Street London E8 3DL United Kingdom
EMAIL--(fairfinanceloanfirm@mail.com)

-------------------------------------------------------
FAIR FINANCE LOAN FIRM we are certified loan lending company We provide loans Since money have been a major problem in our day to day life.
We provide loan with 2% interest rate Our loans are well insured and maximum security is our priority.
FAIR FINANCE LOAN FIRM is a United Kingdom based loan firm with lending license.
===========================================================
Are you in need of urgent loan to clear your bill, start a business,

FAIR FINANCE LOAN FIRM offers loans to Individual as well as company which ranges from
$1,000 to $50,000,000.

* Are you financially Squeezed?
* Do you seek funds to pay off credits and debts
* Do you seek finance to set up your own business?
* Are you in need of private or business loans for various purposes?
* Do you seek loans to carry out large projects
* Do you seek funding for various other processes?
==================================================
AVAILABLE OFFER
We offer the following types of loans:
*Personal Loans.
*Business Loans.
*Investments Loans.
*Home Loan
*Car Loan
*Student Loan and many more...
==================================================
KINDLY FILL OUR LOAN APPLICATION FORM

LOAN APPLICATION FORM
1)YOUR NAME..........
2)YOUR COUNTRY/STATE......
3)YOUR OCCUPATION.........
4)YOUR MARITAL STATUS.....
5)PHONE NUMBER............
6)MONTHLY INCOME..........
7)ADDRESS.................
8)PURPOSE OF LOAN.........
9)LOAN REQUEST............
10)TELEPHONE......... .....
11)DURATION...............

Reply us back through our Email:..(fairfinanceloanfirm@mail.com)
Terms and condition will be sent to you on filling the application form
Your Satisfaction and Financial Success is Our Aim. We are hoping to
hear from you soon.

Address......Dalston 18 Ashwin Street London E8 3DL United Kingdom
Email:.. (fairfinanceloanfirm@mail.com)
THANKS
Mr Donald Williams

Beatrice said...

Hello

I am Mrs Beatrice Adam,currently living in New jersey city,USA.I am a widow at the moment with three kids and i was stuck in a financial situation in may 2010 and i needed to refinance and pay my bills.I tried seeking loans from various loan firms both private and corporate but never with success,and most banks declined my credit.But as God would have it,I was introduced to a man of God a private loan lender by name Mr MARK SMITH who gave me a loan of $85,000USD and today am a business owner and my kids are doing well at the moment,if you must contact any firm with reference to securing a loan with low interest rate of 5% and better repayment plans and schedule,please contact Mr MARK SMITH.He doesn’t know that am doing this but am so happy now and i decided to let people know more about him and also i want God to bless him more.You can contact him through his email via: marksmithloan@outlook.com

(Mr Marksmith)

Anonymous said...

Good day.
I can’t hide this great testimony that take place in my life I love everyone to know it and be partaker that is why I always place it on answer, I am Mrs Maria Miller, by name, I live in Chattanooga, Tennessee United State, I want to thank Mrs Linda Lee for her kindness upon my family life, I never knew that there is still nice lender like this on internet and on earth here. Just some days ago I was in search for a loan of5$ 55,000 Dollars; as I was running out of money for feeding School fees and my bills include rent. I was scammed about $5,200 Dollars and I decided not to involve my self in such business again but a Friend of my introduced me to a loan firm due to my appearance and doings. and I told her that I am not interested of any loan deal anymore but she told me that there is still a nice lender who she will recommend me to, and I made a trial and I am most grateful lucky i am today, I was given a loan amount of $120,000 Dollars by this great firm, LINDA LEE LOAN FIRM, If you are in need of a genuine or legit loan or financial assistance and you can be reliable and trusted of capable of paying back at the due time of the funds I will advice you to, contact her via.....lindaleeloanfirm001@hotmail.com and you will be free from scams in the internet. My lovely Husband extend is greeting to you also if not for you I can't imagine the way life should be for me and my family today. Please I am begging everyone on answer to help me thank Mrs Linda Lee, and I will always being sharing this great thing that happen in my life in answer everyday



THANKS



Mrs Luicy Dave

Anonymous said...

Hello Every Body out There,
i am Franca Waiter from Los Angele’s in United State of America am testifying of a company that have human feeling and God fearing person, who i meet in yahoo answer in not less than 48 hours ,i was looking for a private Loan company where i can get a loan of about 160,000us dollars .so i saw someone testifying for a company that give her a loan of about 40,000us dollars within 24 banking hours’ Then i contact the company because i don’t believe in testimony, so i just say let me try if the company can help me out of my financial problem, Mr.Frank Robison mail me and he said i should fill the form that was send to me that will enable them proceed on the loan immediately and i did and i follow all the process with they give me , so to my greatest surprise the loan was transfer to my bank account not less than 24 hour. I don’t know the kind of financial problem that you are having or you are having a dream of having your own house. this is the company that can make your dream come to reality email them today at frankrobisonloancompany01@gmail.com and you will be happy as i am today

Thanks

lissa said...

Do you need a loan to solve a financial problem,if yes get
a loan at 2% interest rate from a legit private loan
lender. hurry contact us via lissaperryloancompany@gmail.com

Anonymous said...


SAINT SMITH GLOBAL TRUST AND FINANCE.
This is global trust and finance . We are a reputable,legitimate &
registered Company.Approved by the Nigerian Government,we are also
part of the finance company and money lending firm.We help in
encouraging and act as facilitator to reduce your financial stresses
at a very encouraging rate.We give out Loans to individuals and
cor-operate body in need of financial assistance at ones convenience
with a reasonable interest of 3%. Do you have a bad credit or you are
in need of money to pay bills? we await for your quick response.

Services Rendered include:
*Refinance
*Home Improvement
*Inventor Loans
*Auto Loans
*Debt Consolidation
*Line of Credit
*Second Mortgage
*Business Loans
*Personal Loans
*International Loans
* Best secured loan
*Cash Loan
*Low cost Loan
*Internet Loan
*Cheap Loan Rate
*Lifestyle Loan
*Joint Loan
*Equity Loan
*Small Loan
*horse Loan
*Direct
*Budget Loan
*Finance Loan Money
*Home Owner Loan
*Bank Loan
*Company Loan etc
for more information contact us via email-- saintsmithloanlink001@gmail.com

Anonymous said...

DO YOU NEED AN URGENT LOAN TO SOLVE YOUR FINANCIAL PROBLEMS?AND ALSO TO INVEST ON YOUR BUSINESS?CONTACT US VIA EMAIL:greatuniversalloancompany1@gmail.com

Anonymous said...

Its another golden opportunity here again!
Do you know,that cash tinme Finance Loan Firm now offers loans to individuals,private and public investors all over the world with an affordable low interest rate of 3%.

Do you need urgent cash to get out of debts? Do you need finance to
expand or establish your own business?

We offer's all kinds of loan e.g
1.Business Loan
2.Start-up Loan
3.Home Loan
4.Car Loan
5.Education Loan
6.Company Loan etc

So hurry now and apply for your loan of any amount today! its easy,fast and reliable.
We offer long term and short term loan with loan amount ranging from
$5,000 to $50,000,000 with a low rate of 3% to any part of the world

Contact us today via email: williamsmithloancompany60@gmail.com our customer service

Loan Application Form Fill And Return to our email: williamsmithloancompany60@gmail.com

First Name ......
Last Name..........
Sex.....
Age.......
State.........
Country...........
Occupation...............
Monthly Income..........
Amount Needed..........
Duration..............
Religion...........
Phone Number +............

Regards

Anonymous said...

Hello, I Am Gunther Schmidt, a private loan lender i give out loan to tho se that are in need of loan, and Those that want to start a new business.I give out Personal Loans, Business Loans, Student Loans and Company Loans. EMAIL US NOW:::: daisy23568@hotmail.com

Full Name:
Sex:
State:
Country:
Occupation:
Monthly Income:
Amount Needed:
Duration:
Phone Number +:
Intrest Rate%:

EMAIL US NOW:::: daisy23568@hotmail.com

i am waiting

Unknown said...

Do you need an urgent loan or financial service? Contact charitycorporation.gnbo.com.ng or charitycorporation@gmail.com

Anonymous said...

Hello,

Are you in need of a loan?Have the bank denied you of a loan?we are
here to help you financially,all you have to do now is to email us
with your details in the format below and get back to us via
cornelldestiny@live.com to get your instant loan of any amount at any
destination.

Name:
Amount Needed:
Duration:
Country:
Address:
Purposes:
Phone number:

We await your response.

Best Regards,
Cornell Destiny.
Loan Consultant.

Unknown said...

ICC Mortgage And financial Services,Is a sincere and certified private Loan company approved by the Government,we give out international and local loans to all countries in the world,Amount given out $2,500 to $100,000,000
Dollars, Euro and Pounds.We offer loans with a dependable guarantee to all of our clients. Our loan interest rates are very low and affordable with a negotiable duration.
Available now
MORTGAGE, PERSONAL, TRAVEL, STUDENT, EXPANSION OF BUSINESS AND NEW UNSECURED, SECURE, CONSOLIDATE
AND MORE
Available now..
Apply for a loan today with your loan amount and duration, Its Easy and fast to get. 4% interest rates and monthly
installment payments.
{nicholasbrush.icc@gmail.com}

Regards,
Nicholas Brush

Anonymous said...

Hello,
Are you need of urgent financial assistance for a personal purpose or for your business needs? Here is some good news for you. We offer loans to individuals or corporate firms at the lowest annual percentage rate.
Contact us today to get:-
*Hard Money Loans
*Business Loan
*Debt Consolidation Loan
*Personal Loan
*Business Expansion Loan
*Student Loan
*Agricultural Development Loan
...And Lots more
Email: finance.mortgage@skygroups.org

Thanks

David Monical said...

Yes it's true, But for people like me, I can not waste my valuable time looking around banks for a small credit which pays my rent or my small expenses. More over Short Term Credits is the right option for me to save my valuable time. Yes payday loans interests are little high, But not for all of the portals, There are some portals which are giving payday loans for reasonable interest rates. The problem here is choosing the right portal. shorttermcredits is the one which gives payday loans at a reasonable interest rates.

emmastone9 said...

Payday loans can be very costly. Loan amounts generally range from $50 to $1,000, depending on state laws. Fees also depend on state laws, but the structure might be something like $15 per $100 borrowed, and some states may cap how high the fee goes. By getting Payday Loans Online Same Day approval, you will be saving so much time which will be a waste had you applied to any conventional bank