Letters To The Editor: Payday Lenders Are Necessary And Not So Evil
The State
February 14, 2009
by: Barbara Reamy
It is almost spring, the days are getting longer, birds are returning and so is the payday loan controversy.
I am not even interested in who is "pro" and who is "con." My dad used to tell me not to criticize something unless I had a better idea or plan. I don't hear anyone coming up with a realistically better idea.
The bottom line is that some people need these loans. The loans must be handled responsibly - $15 for a two-week loan of $100 is reasonable if a person is in need of emergency assistance.
That is what these loans are for - emergencies, period. Banks will not make this kind of loan. I don't see other financial institutions lining up to offer to take over this type of lending.
It is not financially sound to expect the payday loan industry to be able to offer unsecured loans at much of a lower price.
You call these people "loan sharks" and "predators." Correct me if I am wrong, but can you produce anyone who has had a leg broken by a payday lender? If they are forced out of business, will you take up the slack? Will you offer money out of your own pocket?
You would leave the customers without any other place to go except to the real loan sharks who, presumably, will break legs if not paid back. Your newspaper's position smacks of paternalism that is both degrading and insulting.
BARBARA REAMY
Columbia
