Navient, Formerly Known As Sallie Mae, Sued For Misleading Borrowers

Student loan debt is one of the most critical issues affecting today’s work force. Graduates often come out of school with the weight of tens of thousands of dollars in debt holding them back from moving forward with their lives.

If that wasn’t bad enough, a new lawsuit alleges that millions of those borrowers may have been the victims of intentionally damaging lending practices. 

Report: more than 55% of black households are ‘underbanked’ or ‘unbanked’

According to a report released by the Policy Economic Research Council, more than 55 percent of African-American households are either unbanked or underbanked.

Unbanked means that these U.S. households do not have a checking or savings account and must rely on check cashers or prepaid cards. Underbanked households have a bank account, but are still forced to use high-interest, sub-prime financial services to make ends meet.

During a Q&A with Yale News, Economic Sociologist Frederick F. Wherry expanded on what is known as “credit invisibles,” and how these concepts effect the economic state of blacks in the long run.

New report reveals that credit card debt is worse for African Americans

credit card

You can find them everywhere. On college campuses. In the mail. Creditors are practically handing out credit cards to anyone with a social security number, and while the piece of plastic seems like a quick way to make purchases and pay off bills, they do more harm than good. Especially for African Americans.

A study co-authored by Demos and the NAACP reveals that African Americans are hit the hardest by credit card debt.