The Wall Street Journal has a story about Vermont and subprime loans:
…For the past five years, as home loans went to even Americans with poor credit and no proof of steady work, Ms. Todd couldn’t get a mortgage in spite of her good credit and low debt. Vermont banks told the self-employed landscaper that her income stream was unreliable. The 32-year-old changed careers, taking a permanent job as a teacher, to boost her chances.
Martha R wrote to tell me that a serious effort is underway in Vermont to launch a state bank. 20 towns will be voting on town meeting resolutions to establish a home-grown, public bank. The objective is not to set up a retail bank (say along the lines of a Post Office bank) but to save the fees that are now paid to large financial institutions and to fund public projects. She writes:
The blue-and-white house had been a problem for years. Shifty characters and weird noises were the least of it; a 2012 drive-by shooting unnerved the neighbourhood, although no one was hurt.
“A lot of people were coming and going at all kinds of strange hours,” said Margaret Larsen, who lived near the bungalow for more than a decade.
Yesterday we noted the little-white-lie that California had told by exaggerating the traffic to the Obamacare exchange by a factor 8. Well, it turns out that there is another somewhat exaggerated "fact" that appears to have permeated the mainstream media - that significant numbers of Americans have signed up for healthcare already.
Consumers who use online payday lenders may be taken advantage of twice: first, by the lenders’ triple-digit interest rates that flout state caps, then with fees tacked on by the borrowers’ own banks. A new report published last week by the Pew Charitable Trusts states that while consumers often turn to payday lenders in order to avoid writing bad checks or getting hit with overdraft fees, in many cases customers wind up paying overdraft and payday loan fees.