What we can learn from check cashers

“The service was great – delivering was faster than lightning could strike. I’ve never been presented with such an outstanding service….”

That’s a pretty powerful testimonial – one that didn’t come from a community bank or a credit union, but one of 1,337 five-star reviews (81%) for Speedy Cash, one of the fastest growing and largest providers of short-term loans in the United States.

According to Lisa Servon, author of “The Unbanking of America,” there are more payday loan storefronts in the US than Starbucks and McDonald’s combined. The number of check cashing transactions have risen from $45 billion in 1990 to $58 billion in 2010. From 2000 to 2010, payday lending transactions have risen 200% from $10 billion to $30 billion.

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