The story of a Payday Lender (America's Scum) WARNING: Long Read

[crcballer55]

Pictures are included in the article, so for those who don't want to read you can treat this like a picture book.

http://www.thedailybeast.com/articles/2011/06/25/america-s-worst-subprime-lender-jared-davis-vs-allan-jones.html?ectid=bitlyified062720111604

[h1]America’s Nastiest Lender[/h1] [h2]These two men helped create the payday loan business that preys on the poorest Americans. Gary Rivlin on the outrageous lives and businesses of Jared Davis and Allan Jones.[/h2] June 25, 2011 11:57 AM EDT
Jared Davis or Allan Jones?  

I think about some of the more odious characters I met in my two years hanging out on America’s subprime fringes and those two would be my finalists.  

If forced to choose between them, I’d give the nod to Jones as the most repellant of them all.  But in doing so I know I might well be short-changing Davis. 

After all, I spent two days with Jones, listening to him rationalize a business, Check Into Cash, that earns him 400 percent or more interest on loans to those who can least afford it. We spent hours together locked in a car as Jones gave me a driving tour of his life and expounded on race and other issues. We shared a couple of meals, he showed me the house he built for himself modeled on the famous 250-room Biltmore mansion. His version includes two elevators, a pair of man-made lakes, and a regulation-sized football field complete with light, bleachers, and field house. We hung out at a bar as Jones sipped on what he calls a “Scotch slurpee

 

[crcballer55]

Pictures are included in the article, so for those who don't want to read you can treat this like a picture book.

http://www.thedailybeast.com/articles/2011/06/25/america-s-worst-subprime-lender-jared-davis-vs-allan-jones.html?ectid=bitlyified062720111604

[h1]America’s Nastiest Lender[/h1] [h2]These two men helped create the payday loan business that preys on the poorest Americans. Gary Rivlin on the outrageous lives and businesses of Jared Davis and Allan Jones.[/h2] June 25, 2011 11:57 AM EDT
Jared Davis or Allan Jones?  

I think about some of the more odious characters I met in my two years hanging out on America’s subprime fringes and those two would be my finalists.  

If forced to choose between them, I’d give the nod to Jones as the most repellant of them all.  But in doing so I know I might well be short-changing Davis. 

After all, I spent two days with Jones, listening to him rationalize a business, Check Into Cash, that earns him 400 percent or more interest on loans to those who can least afford it. We spent hours together locked in a car as Jones gave me a driving tour of his life and expounded on race and other issues. We shared a couple of meals, he showed me the house he built for himself modeled on the famous 250-room Biltmore mansion. His version includes two elevators, a pair of man-made lakes, and a regulation-sized football field complete with light, bleachers, and field house. We hung out at a bar as Jones sipped on what he calls a “Scotch slurpee

 

[thunderchunk69]

Crazy how simple some business models are,

And yes, that's the most interesting dimension to me.

 

[thunderchunk69]

Crazy how simple some business models are,

And yes, that's the most interesting dimension to me.

 

[finnns2003]

Nothing surprised me in that article, but thanks for sharing. Scum indeed.

 

[finnns2003]

Nothing surprised me in that article, but thanks for sharing. Scum indeed.

 

[gescobe]

good read, they take advantage of the poor and uneducated.

 

[gescobe]

good read, they take advantage of the poor and uneducated.

 

[soversotowel]

que it ,somebody que it.

 

[wawaweewa]

Why scum?

We act as if being poor allows one to be stupid. There were an are plenty o poor folks who got by without these loans.

 

[soversotowel]

que it ,somebody que it.

 

[wawaweewa]

Why scum?

We act as if being poor allows one to be stupid. There were an are plenty o poor folks who got by without these loans.

 

[dmbrhs]

Originally Posted by wawaweewa

Why scum?

We act as if being poor allows one to be stupid. There were an are plenty o poor folks who got by without these loans.

Exactly. While I don't think these types of people are the greatest human beings on Earth, there was nothing forcing people to use such institutions. It's like being upset at the state for running lotteries. It's only supported by the idiots who keep buying tickets.

 

[dmbrhs]

Originally Posted by wawaweewa

Why scum?

We act as if being poor allows one to be stupid. There were an are plenty o poor folks who got by without these loans.

Exactly. While I don't think these types of people are the greatest human beings on Earth, there was nothing forcing people to use such institutions. It's like being upset at the state for running lotteries. It's only supported by the idiots who keep buying tickets.

 

[airant23]

YO!

My mom's used to OD on this.

Just got a class action settlement check against Check N' Go NC. A smooth $187.

DF!!!

 

[airant23]

YO!

My mom's used to OD on this.

Just got a class action settlement check against Check N' Go NC. A smooth $187.

DF!!!

 

[al audi]

Originally Posted by wawaweewa

Why scum?

We act as if being poor allows one to be stupid. There were an are plenty o poor folks who got by without these loans.

i agree
i mean i guess its grimey but in a way its not.............they are quick cash loans.............i dunno.....

im sure they helped others an screwed others.

 

[al audi]

Originally Posted by wawaweewa

Why scum?

We act as if being poor allows one to be stupid. There were an are plenty o poor folks who got by without these loans.

i agree
i mean i guess its grimey but in a way its not.............they are quick cash loans.............i dunno.....

im sure they helped others an screwed others.

 

[crcballer55]

Originally Posted by wawaweewa

Why scum?

We act as if being poor allows one to be stupid. There were an are plenty o poor folks who got by without these loans.

They are scum because they prey on the poor and take advantage of their situation and their lack of financial education.  If you do research into payday sharks, you will find out that the model is similar to that of crack dealers.  They give people with no money loans that often amount to 500-900%.  As a result, the people come back to borrow more money to cover what they already owe and the cycle continues.  Most people don't realize how much they're being taken for until it's actually brought to their attention.

 

[crcballer55]

Originally Posted by wawaweewa

Why scum?

We act as if being poor allows one to be stupid. There were an are plenty o poor folks who got by without these loans.

They are scum because they prey on the poor and take advantage of their situation and their lack of financial education.  If you do research into payday sharks, you will find out that the model is similar to that of crack dealers.  They give people with no money loans that often amount to 500-900%.  As a result, the people come back to borrow more money to cover what they already owe and the cycle continues.  Most people don't realize how much they're being taken for until it's actually brought to their attention.

 

[al audi]

Originally Posted by crcballer55

Originally Posted by wawaweewa

Why scum?

We act as if being poor allows one to be stupid. There were an are plenty o poor folks who got by without these loans.

They are scum because they prey on the poor and take advantage of their situation and their lack of financial education.  If you do research into payday sharks, you will find out that the model is similar to that of crack dealers.  They give people with no money loans that often amount to 500-900%.  As a result, the people come back to borrow more money to cover what they already owe and the cycle continues.  Most people don't realize how much they're being taken for until it's actually brought to their attention.

very true
but being poor doesnt allow one to be stupid.

and honestly going to a place like this is safer than going to the local drug dealer or goon an asking for quick cash an ending up dead because you couldnt pay it back in time 

 

[al audi]

Originally Posted by crcballer55

Originally Posted by wawaweewa

Why scum?

We act as if being poor allows one to be stupid. There were an are plenty o poor folks who got by without these loans.

They are scum because they prey on the poor and take advantage of their situation and their lack of financial education.  If you do research into payday sharks, you will find out that the model is similar to that of crack dealers.  They give people with no money loans that often amount to 500-900%.  As a result, the people come back to borrow more money to cover what they already owe and the cycle continues.  Most people don't realize how much they're being taken for until it's actually brought to their attention.

very true
but being poor doesnt allow one to be stupid.

and honestly going to a place like this is safer than going to the local drug dealer or goon an asking for quick cash an ending up dead because you couldnt pay it back in time 

 

[pushak513]

the only thing differant between this guy and a cash advance on a CC is the interest rate..everyones gunna get you for somthin if you use there money plain and simple.

 

[pushak513]

the only thing differant between this guy and a cash advance on a CC is the interest rate..everyones gunna get you for somthin if you use there money plain and simple.

 

[rexanglorum]

The nerve of these new money bourgeoise businessmen to get rich by issuing one sided but voluntarily agreed upon loans to poor people.

I wonder if these two businessmen could have avoided the media's ire by being born into a "good" Northeastern family, attending a proper liberal arts college and then getting a well respected Yale JD or a Harvard or a Wharton MBA. From there they could were fine suits, drink whiskey properly and rape the tax payer by working at the Fed and/or Treasury and/or Goldman and lending to other rich people using our involuntarily confiscated money (through taxation and inflation). Also, if our Ivy League grad had gone to work for BoA or Wells Fargo, no one would point how those banks do not do business with poor people and leave that market open to payday lenders.