bad credit, here's the answer

[Dragonpaco]

yes, yes they are. if loan sharking is going to be legal now then why cant all of the illegal shit that i like to do be legal. i'm going to go out and send letters to immigrant women asking them to sign a contract to be shipped here, stripped of their possesions and forced to work as prostitutes (in states that legally allow it) i mean shit, they should have known better before signing the contract right?

[pauldun170]

High risk = High Interest rate
If the government wants to step in and screw with a companies abilty to deal with risk then I would recomend they do what they do in commercial segments.
Nail the high risk consumer with fees.

If a consumer is serious about trying to rebuild there credit and earn the trust of lenders then they should be willing to pay.

If the government is serious about pushing financial institutions to lend more in order to get the economy going then perhaps they should shut the fuck up. the other option for high risk people is to not issue them a CC or loan at all.

[Dragonpaco]

i kind of dont want to do this. you guys have heard every point in the damn book from the verizon bill thread. this is the same thing except people who are irresponsible are being targeted instead of coincidentally pulled in. read over the facts, let your conscience be your guide and all that bullshit. i have better things to do... /attention span

[Kaneman]

I agree with Dragon. If you're going to make loan sharking legal then just make it legal all the way around. You shouldn't have to own a building with a vault and tellers to be a loan shark.

[Amorok]

So what will they do when people who already default on much lower interest rate cards default on this? Subprime lending is all about lending to people who've already proven they can;t pay. They should just give people the money, then immediately break their pinkie, and send them on their way. It saves everyone time and hassle.

[Homeslice]

Good luck with collections, that's all I'm going to say.

[fasternyou929]

Comparing a high interest rate with forcing someone to be a prostitute? I love internet analogies.

The APR is clear for the person signing up for the card, there is 0 ambiguity about it. In fact, a 79.9% APR is much more clear and potentially cheaper than "initiation fees, admin fees, account maintenance fees, etc."

If someone is really trying to rebuild their credit, this card gives them a chance to do so FREE if they pay their bill in full and on time (recommended for rebuilding credit, unless you're an idiot). If I were in their shoes, I'd take that over paying $256 in fees for a $300 credit limit.

Originally Posted by Homeslice

Good luck with collections, that's all I'm going to say.

Exactly. They know that's a write-off already, so they have to make their money back in other ways.

[karl_1052]

Originally Posted by fasternyou929

Comparing a high interest rate with forcing someone to be a prostitute? I love internet analogies.

The APR is clear for the person signing up for the card, there is 0 ambiguity about it. In fact, a 79.9% APR is much more clear and potentially cheaper than "initiation fees, admin fees, account maintenance fees, etc."

If someone is really trying to rebuild their credit, this card gives them a chance to do so FREE if they pay their bill in full and on time (recommended for rebuilding credit, unless you're an idiot). If I were in their shoes, I'd take that over paying $256 in fees for a $300 credit limit.



Exactly. They know that's a write-off already, so they have to make their money back in other ways.

What if it gets sent to someone who is mentally incabable of understanding, but does it anyways?
In canada, they passed laws against interest rates like this.
http://www.paliareroland.com/pdfs/MB...ed%20Claim.pdf

And it is a criminal charge, not a civil charge.

[anthonyk]

From Wikipedia:

In The Divine Comedy Dante places the usurers in the inner ring of the seventh circle of hell, below even suicides. (Showing how cultural attitudes have changed since the 14th century, the usurers' ring was shared only by the blasphemers and sodomites.)

[fasternyou929]

Originally Posted by karl_1052

What if it gets sent to someone who is mentally incabable of understanding, but does it anyways?
In canada, they passed laws against interest rates like this.
http://www.paliareroland.com/pdfs/MB...ed%20Claim.pdf

And it is a criminal charge, not a civil charge.

If someone is mentally incapable of understanding a binding contract, there are laws protecting them here in the US, too. As there should be.