Nationwide, payday lenders outnumber McDonalds, with roughly 16,000 shops. Per capita, Mississippi has got the many, along with the greatest poverty rate in the country. That starvation cuts deep in Delta towns like Clarksdale.
In neighboring Arkansas, payday lending traced a decade-long arc that ended a year ago in prohibition. Which makes Arkansas, another bad state, one thing of a test situation for learning the benefits and cons of high-cost, short-term credit.
In western Helena, Ark., Vance KalbвЂ™s pawn and weapon store sits for a gritty block with three other pawn shops вЂ“ and no payday stores. A chunky man that is white a shaved head, goatee, and cornflower-blue eyes, Mr. Kalb states the rise and autumn of payday financing in Arkansas didnвЂ™t influence their company.