America's middle class is addicted to a new kind of credit
Christopher Maloney and Adam Tempkin
4 hrs ago The payday-loan business was in decline. Regulators were circling, storefronts were vanishing and investors were abandoning the industry’s biggest companies en masse.
Yet today, just a few years later, many of the same subprime lenders that specialized in the debt are promoting an almost equally onerous type of credit.
It’s called the online installment loan, a form of debt with much longer maturities but often the same sort of crippling, triple-digit interest rates. If the payday loan’s target audience is the nation’s poor, then the installment loan is geared to all those working-class Americans who have seen their wages stagnate and unpaid bills pile up in the years since the Great Recession.
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http://www.msn.com/en-us/money/personalfinance/americas-middle-class-is-addicted-to-a-new-kind-of-credit/ar-AAJw8sk?ocid=ientp
