Month: October 2020

October 11, 2020

In the Red: Overdrafts, Payday Lending, and the Underbanked

A novel approach to repaying debt could help consumers free themselves from crushing credit card balances faster, according to new research. Rather than asking borrowers to make payments toward their total balances, Harvard Business School Professor Michael I. Norton and colleagues tested a method that lets consumers choose which purchases to pay off each month. Consumers who used this “repayment-by-purchase” method, on average, paid 12 […]