Sunday, August 6, 2017

"The Stuff That Costs More When You're Poor"

"In other words, as the study’s title points out, Frugality is Hard to Afford. We’ve discussed this phenomenon in detail, too. It’s not just toilet paper. When you’re poor, it’s not easy to buy stuff in bulk or buy high-quality items that will last. There are a lot of hidden, systematic ways poor people pay more for stuff, and there are some expenses that aren’t so subtle...  

many colleges, especially private ones, use a method called “gapping” to squeeze more money out of poorer students—or discourage them from attending altogether. Basically, those colleges offer prospective low income students tuition packages that don’t really meet their financial needs. They underfund those students and save the aid for wealthier students who can afford to pay full tuition rates...

Bank fees make it expensive just to maintain your money in an account, which is ridiculous. They’re easy enough to get around, though—if you have the money."


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