In Case You Missed It – 7.24.24
A CU for Freelancers! Student Loan Chaos! The Death of Cash! Credit Reports and Medical Debt! Get me off this crazy thing! Here’s what we noticed, in case you missed it:
Finally, a CU for the Gig Economy
We’ve mentioned freelancers and the gig economy many times here in this blog. And finally, someone’s actually making it happen! Vantage West Credit Union in Arizona has launched a whole new brand with services for freelancers, HUSTL. They’re starting slow with checking and certificates, and keeping it simple and easy, with separate accounts for gig income and expenses, spending and saving analysis, and lots of features to help automate and organize savings and spending. Here’s an in-depth interview on the birth of HUSTL with Vantage West CIO Rob Hoyle, from James Robert Lay at Digital Growth Institute.
Student Loan Chaos
There’s not room to recap the whole chaotic court and political battle here, but plans to offer payment relief and student loan forgiveness for millions have been in and out of limbo for the last few years. If you’re wondering what’s on the minds of your 20-something members, here it is. Worries and uncertainty about their student loans (and their overall financial health) are at or near the top of their lists. What is your credit union saying – and doing – about student loans?
Does medical debt belong in credit reports?
The CFPB is proposing a rule that would remove medical bills from most credit reports. It turns out that Congress did just that in 2003, but afterwards a “special regulatory exemption” allowed creditors to use medical debts in credit decisions. Current practices vary, but at least some scores don’t weigh medical debt as heavily. Does your CU use this data in credit decisions? Have you communicated this to your members? What is your credit union saying – and doing – about medical debt, the #1 cause of bankruptcy?
The Death of Cash
Between credit cards and digital wallets, cash transactions are plummeting around the world. This chart shows how the percentage of cash transactions has dropped in selected countries at three time periods (2019, 2023, and a projected 2027). Interestingly they are projecting that France, Singapore, South Korea, the UK and the U.S. will all fall below 10% by 2027 (joining China, Australia, Canada, New Zealand, and most Nordic countries.)
Tagged Tower Trio Turnaround?
An unidentified bidder has offered $500M for three unfinished 40-49 story towers in downtown LA that sit across from the city’s convention center and Crypto.com Arena. The complex was abandoned by its Chinese developer in 2019 and has since become a haven for graffiti artists creating a tapestry of spray-painted artwork over several floors. No word yet if the new owner is planning to display some of the art in the finished building.
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