Payday loans making a comeback, eh?
And because they don’t appear on your credit check you can take a dozen out from different companies! What could possibly go wrong?
They’ve been here to stay. They just yassified them and are now aiming them at a different demographic. They’re trying—against all logic—to gentrify poverty traps. Welcome to the future.
Payday loans making a comeback, eh?
They never left. The financial vultures just keep renaming them and finding other loopholes to skirt regulations and keep trapping victims in their endless debt spirals.
It tends to move around from scam to scam.
A lot of the payday loan companies seemed to disappear in the UK. The main one was Wonga, which went under after we made it so that companies lending money would have to pay compensation if they lent money to people who would be unlikely to be able to repay it.
Then there was places like BrightHouse which specialised in selling basic household items to poor people with a 99% APR on them. So that £300 washing machine ends up costing over £1000 by the time they own it.
The current one is places like Klarna, which is a buy now pay later system. Popular because it doesn’t charge any interest (most of the money comes in fees from the retailers) and they don’t put it on your credit history, but miss a payment and they’ll be on you like a ton of bricks.
It’s just the same thing over and over, which a slight change to skirt any new regulations. It’s still the same cash flow problems underlying it all.
What’s that you say? You want to order Chinese food tonight and pay for it in 4 separate payments over 4 months? Sign up here!
When Arizona banned them almost all of them just pivoted to auto title loans. These use the same laws pawn shops exist under, so you’re basically pawning off your car for a couple hundred dollars.
I avoid Klarna and similar services like the plague. But if it’s really interest-free, it doesn’t belong in the same category as those scummy loans with crazy interest at least.
There’s some different options they offer. One where you pay installments with interest, and another where it’s just like credit cards - if you pay it off before the period (30 days), you don’t pay any interest.
Still a million times better than payday loans, but ideally people shouldn’t put themselves into debt for stuff they don’t need.
This will be the new normal if we don’t stop Capitalism now.
A world where you own nothing, and are expected to survive based solely on a debt that you are expected to pay back but it’s an open secret that you never will.
My first taste of pure evil capitalism was when my fast food job in college was forcing everyone to switch to getting a “cash card” rather than a check. That card had a $0.25 fee every time you used it.
I don’t know if it still exists or if sane politicians told companies that shit was illegal.
They’re trying to go back to the 1800s. The giant, old, textile factory near where I live had dorms where the workers would live on premises and were paid in script for the stores owned by the factory. Like coal villages. They converted them into luxury loft apartments now.
🎶You load sixteen tons, what do you get? Another day older and deeper in debt. Saint Peter don’t you call me, 'cause I can’t go. I owe my soul to the company store.🎶
I believe it is semi-legal where a card CAN be offered, but only as an alternative to direct deposit.
Is this the latest hit single by Feudalism? I hate it.
I thought I was being advertised to on Lemmy despite my various ad blockers and was furious for about 10 seconds lmao
Technically, you were.
If this post had been an advertisement, do you think you’d be allowed to comment on it?
Glad I’m not the only one getting mad when I see/hear an add now 😭
Sponsored Lemmy Comment: Hungry for a can of beans? Sign up now and get $100 of debt in minutes!
Due to inflation, I’m afraid one bean is all I can offer you…
i think you mean $100 of beans
Sorry no beans, just debt. And an agreement to terms and conditions that you must not poop for 72 hours.
or what
Or else you will face the wrath of Beef Stroganoff and your clothes will be replaced with denim.
oh no, that’s the worst texture!
or the arbitration begins
i’d need more beans
drained my bank account, maxed my credit cards, but credit genie was there to help me take on more short term debt.
This is monstrous…
Why? She needed a latte, and because she suffers from poor choices, she can now get a $8 latte that will cost $219 to pay back!
Gotta keep the wage slaves in debt so there’s no upward mobility.
I’m not sure if she’s laughing hysterically or crying.
So glad I don’t use Reddit
remember the pay over time pizza thing?
I had to take out a loan to replace my water heater. The only reason I can afford the payment is because I just paid off my car. I need to keep that old car running but I already have car repairs piling up that I can’t afford.
We’ll have you ever considered that you’re to blame? You’re posting on lemmy, probably from an iPhone! you could have spent that .75sec working instead of eating your avocado toast! You probably have a refrigerator too! AND a microwave! How poor can you be if you have a car and a fridge and a microwave!
(This idiotic argument was quoted from multiple, actually real sources, sadly).
I appreciate your comment lol, it’s great.
And this isn’t a rebuttal to you, butI’ve never had an apple product. I’m in Ohio so avocados are usually terrible, a losing gamble. I do have a refrigerator and a microwave, I think everyone who isn’t homeless does. They’re both partially broken though. Also my part of Ohio has no bike lanes or sidewalks or public transportation, so a car is actually the one thing most homeless people here do have. If you don’t have a car you have to be really good friends with someone who does.
I do have a refrigerator and a microwave, I think everyone who isn’t homeless does.
Psh, I don’t have a microwave! That’s why one day, I’ll be a billionare dining my yacht, while you’ll be stuck eating your microwave-food at home.
(I don’t have space for it in my kitchen)
I’m guessing you’re in Europe, I’ve lived in Germany and the Netherlands and visited a lot of the rest. Not having room for a microwave is not surprising. You almost can’t get a hotel room in the US that doesn’t have one. Much of our frozen food only has microwave directions. It’s more common to not have a stove/oven.
Airs pretty idiotic right? That entire “argument” is all sadly pulled from various right wing sources, at times arguing that people aren’t actually “poor” because they have microwaves and refrigerators. They blame millennials for eating avocado toast because we don’t deserve it because we haven’t raised a family yet. Truly insane shit.
I’ve personally assisted giving free microwaves to at least a dozen people, and anyone can buy a used one for like $10. And a handful of free refrigerators, also available used super cheap. The avocado toast thing is dumb, but I do have a broke ass 20 year old living in my house for free who will spend $40 on door dash for one meal for herself even though I gave her a car. I have paid for delivery like three times in the last 20 years, I can’t afford that shit. Sometimes people do waste money when they’re not struggling just to have a roof over their head and food in their belly.
There’s a difference between “broke” and poor. Yeah, some young people are not financially conscious. But it’s still different to what these right wing assholes are actually talking about. They’re trying to conflate brokeness and poverty, they’re trying to paint young irresponsibility with the brush of “poverty,” when in reality what happened is there was a massive wealth transfer up-class, and there are fewer opportunities and less wealth for younger generations because since the 80s there has been a reversal of wealth distribution. Before the era of deregulation, we had the longest sustained period of economic growth in US history—but we, starting with Reagan, deregulated everything that led to it. Leading to the money that was being distributed and bolstering the middle class funnel backwards, up to the top, and we got billionaires and multibillionaires instead. That isnt solved by not buying avocado toast or not getting delivery. It’s solved by dismantling the structure that is so irreparably broken that we can’t fix it without top-down violence threatening those of us that want to.
Oh I wasn’t arguing that the system isn’t broken. I make less today than I did 25 years ago and everything costs at least double. I don’t just blame Reagan though. We’ve had plenty of other Republicans and Democrats who could have made changes. Obama might have had the best opportunity for a year or so. But both parties have sold out to the owner class.
u/CreditgenieApp Promoted
Ewwww! So glad I had somewhere else to go after dumping that place!
Seeing Amazon offering a 3 month payment plan for 25 bucks cat hair removers yesterday blew my mind.
I wonder how they interact with regulations of the payday loan industry.
100$ for coffee? Someone has GOT to rein in Starbucks!
