Tuesday, August 12, 2014

Payday Lending and Speed Work

Okay, the two aren't really related.  Did 6x400 this morning.  It hurt, I was slow, but glad I did it.

Then I read the paper, and saw that the New York AG is charging pay day lenders with usury.  This is great news for a bunch of reasons. First, because it will add some immediacy when I teach about payday lending and consumer financial protection in the Fall.  Second, the article does a nice job of showing how fringe lenders can structure themselves to place their operations largely outside the reach of state regulators.

I find payday loans to be very interesting.  They are simple, transparent and clearly abusive.  What does it tell us about consumers that they are willing to use them (given that they must have both a job and a bank account)?  What does it tell us about state legislatures (other than New York) that  have expressly lifted their usury caps to allow legal pay day lending, auto pawns and other scary lending practices?


  1. Yay, speed work! Sounds fun. Congrats on continued progress. I leave the Cape tomorrow and I've had several out-of-shape but improved runs while here. If the pain comes back upon my return home, that means I have to permanently be on vacation.

    Speaking of the AG, my sister did end up getting a job there and starts next month in the fraud bureau (I think that's right). Thought you'd be interested.

  2. Great news about the AG's office. As for vacation, it did wonders for my running. I think I'll take another . . . I still have a long way to go. My laps were 10 seconds slower than I usually do for 440s. I maybe could have squeezed a little harder, but I'm definitely still in rebuilding mode.

  3. Jinxed myself! Since I can't go on vacation again, I'm going to stop mentioning anything about my foot in public forums. Was supposed to go to PT tomorrow but needed to resked for next week.

  4. Superstition is appropriate. Sending out healing vibes. I wonder if there's such a thing as voodoo acupuncture?