Unregulated Lenders are Looking for Exorbitant Investment Returns

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Unregulated Lenders are Looking

for Exorbitant Investment Returns


High-risk borrowers fall prey to predatory lenders. Why? Unregulated lending provides opportunities for high investment returns, which is lucrative for predatory lenders. How long has predatory lending been in existence? It started from the Civil War to the early decades of the twentieth century in the United States. Organized crime continues to operate in most businesses, such as predatory lending (Geisst).

Currently, lending practices from predatory lenders demonstrate high-cost interest rates and fees to at-risk borrowers. So, what will you, the borrower, do about it? Know your lenders and stay vigilant to predatory lenders. Start your financial journey today and obtain your lending from financial institutions like regulated banks and credit unions. Learn more and visit FDIC’s website at #GetBanked and #MoneySmart. Check out the financial institutions offering low-cost or no-cost accounts for your banking needs.

 
#KNOWYOURLENDER, #STAYVIGILANT, #GETBANKED, #MONEYSMART 

Written by: Monée Boswell


Know your lender before you borrow funds!

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Work Cited 

Geisst, Charles R. “Loan Sharks : The Birth of Predatory Lending.” Washington, D.C.: Brookings Institution Press, 2017.

    https://www.brookings.edu/wp-content/uploads/2016/07/chapter-one_-loan-sharks-9780815729006.pdf


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