What causes so many people to suffer from homelessness?
Most financial services are not built to serve low-income households. In fact, they often do more harm than good.
Fees and interest (riba) (high overdraft fees) (exploitative payday loans) etc. accumulated into over $141 Billion in 2015 (financially undeserved Americans spent). <— makes it more expensive to be poor in this country than to have wealth.
When a person doesn’t have a bank account for minimum balance requirements or high overdraft charges, that person will spend on avg. $500 a year in extra transaction costs alone. Furthermore, the housing costs are un-affordable for low-wage workers (on fixed income).
If you earn $8/hr, you would need to work over 100 hours a week to be able to afford a 1 bedroom apartment.
And federal funding for affordable housing has dipped tremendously between 2009 – 2013. We are experiencing a rental housing crises.