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Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsThe Rise of the Pawnshop
Linda Ballard, 61, uses the word love to describe her banking relationship, lauding the ease of cashing her bimonthly paycheck, the convenience of text alerts about her balance and the features on the platinum card that she was upgraded to in July.
But she is not getting all this from a bank. She is getting this array of services from a pawnshop part of an industry that has long had a reputation of taking advantage of vulnerable customers handing over prized possessions in exchange for cash.
As banks zero in on more affluent customers who promise twice the revenue of their lower-income counterparts, close branches in poor areas and remain stingy with credit, pawnshops are revamping their image and stepping into the void to offer financial services.
The way the banks have tightened up so much on making small loans and making equity loans, weve kind of evolved into, I like to call it the poor mans bank, said Robbie Whitten, chief executive of Money Mizer Pawn and Jewelry of Columbus, Ga.
There are, however, plenty of potential drawbacks, consumer advocates say.
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http://dealbook.nytimes.com/2013/08/24/platinum-card-and-text-alert-via-pawnshop/?hp&_r=0
orpupilofnature57
(15,472 posts)when their " more affluent customers " were shitting their pants .
Egalitarian Thug
(12,448 posts)alternatives to the rigged games.
Dr Hobbitstein
(6,568 posts)BOG PERSON
(2,916 posts)in my area since about 2008
not a happy sight