Thursday, February 2, 2012
1 Crisis Away From Poverty
According to this article, while here is a relatively small number of Americans who live under the poverty line, about %15. However, nearly half the country is just one bad crisis away. If someone has a medical issue, lose their job, etc, they would be under the poverty line. Many peoples' lives could be turned upside down very quickly. They would quickly go into debt, lose their home, and barely be able to scrape by. Many would resort to payday advance loans, which can be very bad. They have extremely high interest rates, and the people who get them often cannot afford to pay them back. People end up in a cycle of debt they cannot escape. A potential cause of this is a lack of financial education in US schools. Many people don't know how to spend responsibly, and live above their means.