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View Diary: Predatory lenders prey on service members (22 comments)

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  •  Didn't we used to have laws against usury?? (4+ / 0-)
    Recommended by:
    burlydee, swampyankee, lyvwyr101, Mortifyd

    As I found at Wikipedia:

    Congress opted to put a federal criminal limit on interest rates by the Racketeer Influenced and Corrupt Organizations Act (RICO) definitions of "unlawful debt", which make it a federal felony to lend money at an interest rate more than twice the local state usury rate and then try to collect that "unlawful debt".[40]

    It is a federal offense to use violence or threats to collect usurious interest (or any other sort). Such activity is referred to as loan sharking, but that term is also applied to non-coercive usurious lending or even to the practice of making consumer loans without a license in jurisdictions that require licenses.

    Emphasis, mine.

    400% interest cannot be anything but usury, by definition.  

    Our younger servicemembers, many of whom are away from home for the first time, often have no point of reference for predatory lenders.  For many of them "predatory lender" means a friend or sibling who wants the five bucks borrowed last payday plus a date for their friend!
    (sarcasm)

    While I don't want the government's nose in all of my business, I would appreciate it if they would keep some businesses from taking an arm and a leg as part of their profits.

    We cannot call ourselves a civilised society if we refuse to protect the weakest among us.

    by The Marti on Fri May 17, 2013 at 02:34:24 PM PDT

    •  Anti-usury laws are as old as human civilization (3+ / 0-)
      Recommended by:
      The Marti, lyvwyr101, Odysseus

      early Roman, Chinese, Indian, Christian, and Muslim nations all had anti-usury laws because they were well aware of the damage and financial ruin they could cause.  I mean it is in the friggin Bible!  

      •  Exactly. It's not just a financial crime.... (2+ / 0-)
        Recommended by:
        lyvwyr101, burlydee

        it's a crime against a society, in a way, as it undermines the stability of individuals and families to support themselves while supporting the greed of the most wealthy.

        Oh.

        Did I just describe the 1%?

        We cannot call ourselves a civilised society if we refuse to protect the weakest among us.

        by The Marti on Fri May 17, 2013 at 03:03:05 PM PDT

        [ Parent ]

      •  Some things never change--do they? (1+ / 0-)
        Recommended by:
        The Marti

        Mayan Word For 'Apocalypse' Actually Translates More Accurately As "Time Of Pale Obese Gun Monsters."......the Onion

        by lyvwyr101 on Fri May 17, 2013 at 04:21:38 PM PDT

        [ Parent ]

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