Are Banks Just Sharks in Disguise discussion Part 1 : Write a post for discussion assignment.( Below “Are Banks Just Sharks in Disguise?”) ( Do not exceed
Are Banks Just Sharks in Disguise discussion Part 1 : Write a post for discussion assignment.( Below “Are Banks Just Sharks in Disguise?”) ( Do not exceed half page -single space-make it simple and good)
Part 2: Respond to 1 classmate ( One of other students posts are attached here in the file so you can see and have an idea and also to write a short responses to them 2-3 sentences only)
Discussion: “Are Banks Just Sharks in Disguise?”
Your text posses this question. “If I can buy a car today for $5,000 and it is worth $10,000 in extra income next year to me because it enables me to get a job as a traveling anvil seller, should I take out a loan from Larry the loan shark at a 90% interest rate if no one else will give me a loan? Will I be better or worse off as a result of taking out this loan? Can you make a case for legalizing loan sharking?” What do you think? With this in mind, one of the most maligned financial markets is the payday loan market. These short term loans, between 14-31 days long often have APR’s greater then 400% interest. Is this a type of loan similar to a loan shark and should these be allowed in the marketplace? Furthermore, lets examine bank fees, more specifically overdraft fees. In a world where technology has reduced costs, bank overdraft fees have increased. Do these fees fairly compensate the bank for the additional costs associated with an overdraft or is it more of a form of predatory interest similar to a loan shark or payday loans?
Attachments:
– Discussion Rubric
– Respond on this student
((((( No references or citations needed ))))) Discussion Board Grading Rubric
Class participation is an important expectation of this course. Students are expected to offer comments,
questions, and replies to the discussion questions that have been posed for each module as well as to
classmate postings. Students are expected to actively participate in EACH module’s discussion EACH
week throughout the course. The faculty role is as an observer and facilitator. I will be reading all
messages and I will participate in the discussion as appropriate. Initial postings should be done no later
than Tuesday night at 11:59 p.m. CT while replies to classmate postings should be made no later than
Friday night at 11:59 p.m. CT in order to be considered on time. Students may work ahead on the
discussion boards but posting on past week’s boards will not allow for stimulating discussions with your
classmates.
Evaluation of Assignment:
Postings will be evaluated on the quality of the postings and the degree that the postings promote
discussion with classmates. Participation on all discussion boards is required and postings will be
evaluated per board on the below scale.
Criteria
A (10 points)
Outstanding
Critical Thinking• rich in content
• full of thought,
insight, and
analysis
• (2 pts)
Connections
• Clear connections to
previous or current
and/or to
real-life situations
(2 pts)
Uniqueness
• new ideas
• new connections
• made with depth
and detail
• (2 pts)
Timeliness
• all required
postings early
into the
discussion
• throughout the
discussion
• (2 pts)
• few grammatical or
stylistic errors
• (2 pts)
Stylistics
B (6-8 points)
Proficient
• substantial
information
• thought, insight, and
analysis has taken
place
(1.5 pts)
• new ideas or
connections
• lack depth and/or
detail
• (1.5 pts)
• new ideas or
connections
• lack depth and/or
detail
• (1.5 pts)
C (3-5 points) Basic
D/F (0-2 points)
Below Expectations
• generally
competent
• information is thin
and commonplace
• (1 pt)
• rudimentary and
superficial
• no analysis or insight
is displayed
• (0.5 pt)
• limited, if any
connections
• vague generalities
• (1 pt)
• no connections are
made
• off topic
• (0.5 pt)
• few, if any new
ideas or
connections
• rehash or summarize
other postings
• (1 pt)
• all required postings • all required
postings
• some not in time for
• most at the last
others to read and
minute
without
respond
allowing for
• (1.5 pts)
response time
(1 pt)
• several grammatical or • obvious
stylistic errors
grammatical or
stylistic errors
• (1.5 pts)
• errors interfere
with content
• (1 pt)
• no new ideas
• “I agree with…”
statements
• (0.5 pt)
• some, or all,
required postings
missing
• (0.5 pt)
• obvious
grammatical or
stylistic errors
• makes
understanding
impossible
(0.5 pt)
I would be worse off taking the loan from Larry the loan shark. Even though I would get the
extra income, it wouldn’t be worth it in all the interest I would have to pay. 90% interest
would defeat the $10,000 in extra income I would make the next year. I can’t come up with a
case legalizing loan sharks. I don’t see where the amount of interest would benefit anyone,
even in difficult cases.
I don’t like the idea of payday loan market and most people getting these loans don’t
understand how much they are paying in interest. I think most of them see it as a fee, instead
of seeing it as interest. Usually to pay off these payday loans, they have to get another loan to
pay off the first loan. They can’t seem to catch up and are always having to pay someone
back to try to make ends meet. So even though these loans are legal, they should be
explained more in detail to everyone.
The overdraft fees do seem excessive, but I think they are that way for a good reason. If they
weren’t the amount that they are, then more people would be overdraft their accounts. If it
was a small amount like $5, people wouldn’t be as nervous to go over their account limit.
This isn’t fair to the bank or people that use that bank for business. Plus if it happens quite
often with some people, I think the amount is fair, since they can check their account on
their phone now a days. But if it happens by mistake once or twice, maybe the bank would
forgive them and take off the fee seeing there are a responsible client.
Purchase answer to see full
attachment