[wildmusings]

"I'll give you $100 today if you pay me back $110 next week. And I don't care about your awful credit score." That's over 500% annualized interest, but it's not very unreasonable for an unsecured short term loan to a person with bad credit.

[jopsen]

it might be a reasonable business proposition if all players were rational, but parent trying to put food on the table aren't rational.

I can't fault them for that. Sadly, it's not profitable to help people.

[jstanley]

You don't get to decide what levels of interest are "rational" for other people to take on.

[jopsen]

Should you get to exploit people who are desperate?

[jstanley]

If they really want $100 right now, and are happy to pay $110 back next week, I don't see offering that to them as exploitative.

[crankylinuxuser]

Then perhaps you ought to understand underlying motivations rather than seeing everyone 100% logical robots with complete awareness of situation.

Its not the rational and logical who use payday loans with similar interest. Its the single parent families. There's children involved, power threatened to being turned off. There's a car repair needed for they can work. You know, poverty.

And your excuses are just that- rational justification to fuck over poor people trying to make the best of bad answers.

[jstanley]

If someone really needs a loan of $100 to keep the power from being turned off, is denying them a loan for $100 in the best interest of the children? I don't think so.

If you don't give them the loan, the power will definitely be turned off. If you give them the loan, they can pay the power bill.

[jopsen]

Sure, if all players are rational.

Parents feeding their kids aren't.

[CaptainZapp]

I dare say that this really depends where you live.

Herearound any extension of credit with an annual interest rate above 15% is considered usury, which is a criminal offense.