In September, the Ferguson Commission issued a report shedding light on the vast economic, racial, and social disparities within the St. Louis region. While many of the problems raised in the report will take years to address, one problem identified by the report is one that Missouri leaders could take on now: predatory lending practices.
The report notes, “While low wages make it difficult to escape poverty, predatory lending often makes poverty worse.” With a state minimum wage of only $7.65 per hour — below the federal poverty line for anyone with children — many cash-strapped Missourians turn to payday lenders when they have too much month for the money. And they often end up in a deeper hole as a result.
The above excerpt was originally published in St. Louis Post-Dispatch. Click here to view the full article.
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Director, Consumer Finance