| You capture my feelings, too. I don't think all rates should be the same; the risks of default should be priced in to the finance or lease rate. I agree "predatory == bad", so perhaps we could devise a system to (try to) ensure that the hit that subprime borrowers are taking is commensurate with the risk the lenders take. But arguably this is already done through competition (in lending in general, not specifically with this one-lease-company-only arrangement via Uber). Maybe you can say we as a society should 'protect' subprime borrowers by banning lease/finance rates that are more than x% more than the best rate, and you tell sub-prime borrowers who don't meet the criteria, "too bad". But then lenders would game it by not lending to the best credit folks in order to extend down to the truly sub-prime. Or it might flatten the rate spread between prime and subprime. Maybe this isn't an entirely bad thing; well-qualified buyers take a slight hit in order to subsidize those who are down on their luck. But then another lender comes along with better prime rates, and everyone who can swing it goes there. Personally, I'm not really a fan of telling people they can't make their own financial decisions because "it's bad for you". Isn't this the opposite of what basic income proponents say? That we should let people be free to make their own decisions? We hear over and over that poor people make bad financial decisions (with the anecdata to support it... and some ACTUAL data and scientific research).. but there's also lots of data showing that people are best left to make their own decisions rather than some 'helpful' government scheme/program/regulation. |