We’ve long known that individuals in poor communities were shut out of traditional credit markets and are often forced to turn to alternate sources of capital.
Go to any impoverished neighborhood in the area, and you will find an abundance of alternative “financial institutions.”
Places like payday loan stores, pawn shops, title loan stores or check-cashing shops—all of which charge exorbitant rates and fees to access much-needed capital.
This is no secret.
via Should St. Louis City and St. Louis County Consolidate? – State & Local – GovExec.com.