Comments on: New York Times: Big Banks Draw Profits From Microloans to Poor http://cfi-blog.org/2010/04/14/new-york-times-big-banks-draw-profits-from-microloans-to-poor/ Wed, 09 Oct 2013 16:34:18 +0000 hourly 1 http://wordpress.com/ By: Ralph Campbell http://cfi-blog.org/2010/04/14/new-york-times-big-banks-draw-profits-from-microloans-to-poor/#comment-571 Sat, 08 May 2010 21:14:33 +0000 http://centerforfinancialinclusionblog.wordpress.com/?p=1456#comment-571 I, too, am bothered by exhorbitant interest rates, and am not swayed by the claims that it takes high rates in order for loans to be “processed and serviced. Daily, even weekly collections, sounds like the ways of the Chicago mafioso. What’s the difference? Maybe the microbanks don’t break kneecaps?
I take issue with the claim that the average loan in the US charges 37% in fees and interest. This has always been considered usurious, and most States would not allow such loans. That part of the industry devoted to “payday” loans may be in this category, but I think the comparison for the sake of justifying usurious loan rates is irresponsible.
I will, from now on, be more careful with my Kiva loans, and try and avoid making loans through usurious institutions.

]]> By: Finance http://cfi-blog.org/2010/04/14/new-york-times-big-banks-draw-profits-from-microloans-to-poor/#comment-509 Thu, 15 Apr 2010 17:23:08 +0000 http://centerforfinancialinclusionblog.wordpress.com/?p=1456#comment-509 Nice Post, i like the article in your blog…
i will visit this blog more often…
Nice info in there…

The New York Times today writes on a topic of much concern for the microfinance community—interest rates. In recent years, interest rates have been falling, but there is still quite a ways to go

Keep Up the Good Work!

cheers

]]> By: Peter Burgess http://cfi-blog.org/2010/04/14/new-york-times-big-banks-draw-profits-from-microloans-to-poor/#comment-504 Wed, 14 Apr 2010 18:52:37 +0000 http://centerforfinancialinclusionblog.wordpress.com/?p=1456#comment-504 Dear Colleagues

I have posted responses to this article in a number of places … but my rant is also posted on the Community Analytics (CA) blog …. http://communityanalyticsca.blogspot.com/2010/04/does-microfinance-work-how-valuable-is.html

The issue that people should be addressing is the nasty fact of 4 billion people on the planet that are poor and hungry … and corporate behavior that is highly profitable but does not take into account any of the major issues that are wrecking the planet and ruining the community commons.

It is time for paradigm shift … but I do not sense there is anyone in play that understands what this paradigm shift needs to be … certainly not the leadership of the capital markets and their media friends!

Peter Burgess

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