I decided to watch "Singletary Says" on TVOne today to see what it was all about. Today's show was about PayDay/Title Loans and Rent to Own companies. Singletary discussed the ridiculous
fees they charge (anywhere from 300 - 1,000%!!!)
I am soooo very happy she discussed this because in black neighborhoods they are PayDay/Title Loan shops between nearly every building. She discussed how they are preying on African American's in low income areas. It was saddening. But enlightening and I hope a bunch of African American's checked this particular subject today.
As far as Rent to Own places, I would NEVER use those types of companies. I'd rather charge it (still not something I suggest, as i owe $700 to Sears for a $300 tv I bought nearly 3 years ago.)
One of my family members are one of the sad stories where someone spends more than they make to "keep up with others."
She bought a huge, beautiful home. No income, recently retired, living off of SSI. Then she furnished it with Rent to Own furniture. One particular thing was a white leather sofa and loveseat set and some fancy end tables, lamps and coffee table for what they call down south a "sitting room." Which I found hilarious because no one really sits on white leather. Needless to say, she spent thousands of dollars for furniture that she ended up having to give back because she couldn't afford it.
My problem is people do these things to get something they can't afford at the time. So of course their are companies more than willing to "help you out" for a hefty fee. But the people that know damn well they don't need a white leather sofa for show don't impress me.
It's sad that their are some individuals that really need something (such as a loan to pay for electricity or food for their children) and they get screwed over by these companies and end up worse off than they started.
Tags: high interest, michelle singletary, payday loans, rent to own, singletary says