This speaks to another odd problem in the US. I think everyone should have access to something like $500 state backed credit, with little interest. This could be used to build credit for those who have bad credit, and be a baseline for those who just need a little flexibility but don't have enough to get a full on credit card. At worst someone takes $500 one time and they don't get any more, at best it helps people get out of a rut.
The other thing, I think banks should be required to offer a no fee checking account, free to sign up and no ability to overdraft. Dems keep bitching about how poor people don't have checking accounts. So let's just make sure everyone has access.
Decent ideas, although I'd be more partial to the checking account idea (although I think some banks already offer them).
When I was a kid in the distant past, most of us started with a credit card co-signed by parents, with a 500 dollar limit or so. This served the need of establishing credit (some people did their first small car loan the same way). In the military, we also had access to relatively low interest loans through Navy Federal Credit Union and Navy Mutual Aid Association, which helped to establish credit. That's how I did my first car loan.
Yea, I had a similar situation (no military service though). Parents co-signed my first CC to build my credit.
I do sympathize with those whose parents cannot offer such a thing. I think the military provides great opportunity for things like this also, but a more generally available low interest credit line would help people avoid payday loans and such.
The poverty trap is real, and unfortunately I don't see anybody, R or D, offering any solutions. At least R are closer to "stop making bad decisions is step 1"
This speaks to another odd problem in the US. I think everyone should have access to something like $500 state backed credit, with little interest. This could be used to build credit for those who have bad credit, and be a baseline for those who just need a little flexibility but don't have enough to get a full on credit card. At worst someone takes $500 one time and they don't get any more, at best it helps people get out of a rut.
The other thing, I think banks should be required to offer a no fee checking account, free to sign up and no ability to overdraft. Dems keep bitching about how poor people don't have checking accounts. So let's just make sure everyone has access.
Decent ideas, although I'd be more partial to the checking account idea (although I think some banks already offer them).
When I was a kid in the distant past, most of us started with a credit card co-signed by parents, with a 500 dollar limit or so. This served the need of establishing credit (some people did their first small car loan the same way). In the military, we also had access to relatively low interest loans through Navy Federal Credit Union and Navy Mutual Aid Association, which helped to establish credit. That's how I did my first car loan.
Yea, I had a similar situation (no military service though). Parents co-signed my first CC to build my credit.
I do sympathize with those whose parents cannot offer such a thing. I think the military provides great opportunity for things like this also, but a more generally available low interest credit line would help people avoid payday loans and such.
The poverty trap is real, and unfortunately I don't see anybody, R or D, offering any solutions. At least R are closer to "stop making bad decisions is step 1"
agreed