Once again the Law of Unintended Consequences coupled with an unfailingly defective understanding of human behavior and economics.
Do they think people that use Pay Day loans are too stupid to tell they’re high interest and foolishly use them instead of selling their Krugerrands?
Do they think lenders will offer the loans more cheaply and enjoy less or no return on capital risked? Probably by snorkeling into their Scrooge McDuck basement full o’ currency.
I guess so.
“Do they think people that use Pay Day loans are too stupid”
Yes.
They’re certainly too stupid to have money.