Bernie Sanders is Probably Not the Marketplace Lending Candidate of ChoiceJanuary 6, 2016 | By: Sean Murray
Perhaps the fastest way for Americans to become deBanked is to elect Bernie Sanders as President. In a proposal he laid out on Tuesday, Sanders pledged to break up commercial banks, shadow banks and insurance companies that he believes are “Too-Big-to-Fail.” While not everyone would be especially sad to see something like that happen, there’s a whole bunch of other reasons Sanders might not be the marketplace lending candidate of choice.
Here’s a summary of what he said:
- The Business Model on Wall Street is Fraud.
- All consumer loans should have an interest rate cap of 15%.
- Lenders who charge more than 15% are awaited in the Seventh Circle of Hell.
- Quote: “Today, we don’t need the hellfire and the pitch forks, we don’t need the rivers of boiling blood, but we do need a national usury law.”
- Big banks need to stop acting like loan sharks and start acting like responsible lenders.
- Post offices should become government banks so that free market lenders will go out of business.
While Sanders admittedly said we don’t need the rivers of boiling blood, a large portion of lenders, marketplace lenders included, apparently have a special place in hell reserved for them. His over the top statements come on the heels of a gaffe, in which he revealed very publicly on twitter his ignorance over how loan underwriting actually works.
Will you be voting for Bernie Sanders this primary season?Last modified: January 6, 2016
Sean Murray is the founder of deBanked, an 11-year veteran of the merchant cash advance industry, a casual Lending Club and Prosper note investor, the co-founder of Daily Funder, an alternative lending speaker, consultant, writer, and enthusiast. Connect with me on LinkedIn or follow me on twitter.