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“Unbanked”?

October 13, 2009 | Washington Post, federal legislation, industry | Comments (0)

Sloppy journalism at The Washington Post.  In an article today about the CFPA affecting payday loans and check cashers, the reporter confuses the two services:

In the financial world, those without access to traditional financial services have been dubbed the “unbanked.” With spotty bank records and thin or nonexistent credit reports — documents often required to rent an apartment, buy a cellphone or even get a job — they rely on storefront businesses that may charge a 4 percent fee to cash a check or a 995 percent annual interest rate for a short-term loan.

The story goes on to describe a worker who lives and works in North Carolina and Washington, DC (two jurisdictions without payday lending) as using payday loans.  Very suspicious.

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