China's Peer-To-Peer Lenders Are Falling Like Dominoes as Panic Spreads

Re:China's Peer-To-Peer Lenders Are Falling Like Dominoes as... by samstave on Wednesday August 01, 2018 @04:43PM (#17666813)

One problem is that the populations that are underserved by banks are over-exploited by those options made available to them;

"Cant get a loan due to less-than-perfect credit? Then pay 4,000% interest!"

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The finance charge ranges from $15 to $30 to borrow $100. For two-week loans, these finance charges result in interest rates from 390 to 780% APR. Shorter term loans have even higher APRs. Rates are higher in states that do not cap the maximum cost.

https://paydayloaninfo.org/facts

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Re:China's Peer-To-Peer Lenders Are Falling Like Dominoes as... by rahimnathwani on Wednesday August 01, 2018 @05:03PM (#17666975)

"The finance charge ranges from $15 to $30 to borrow $100."

For context, US banks typically charge this $15 to $30 in overdraft fees, for payments of less than $50. For example, see the table and note immediately below it here:

https://www.alaskausa.org/overdraft/optin.asp

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