The Quest to Stop Predatory Lending
When Ingrid Shepard, the Executive Director of The One Less Foundation, was asked what the one thing she hoped she could accomplish in the quest to eradicate poverty, she emphatically replied that she would work to outlaw predatory lending and payday loans. These practices have been growing in recent years, and they can have dire consequences for those individuals that are already in a financially fragile position. In a 2013 study conducted by the Global Financial Literacy Excellence Center at George Washington University, it was noted that one in four people had engaged in some form of high-cost borrowing in the past five years, while 34% of young individuals (ages 18-34) had used such instruments. The study determined that the availability of such alternative financing options was problematic, but a general lack of financial literacy among the American population compounded the problem.
Being that the issue of predatory lending is twofold, the solution must also be twofold. The One Less Foundation works both to advocate at the state and national level to ban certain predatory practices as well as providing community programs for students and adults seeking an education in financial literacy. Together these programs aim to promote better financial practices and consumer awareness. Go to www.stoppaydaypredators.org/TOLF to show your support for The One Less Foundation’s work to #StopPinklining.
