I think every family has their own version of a bank.
I have heard it described as admin will give the skippers access to money at 1/2 point, skippers will give it to members at 1%, members will give it out to associates at 2%,
associates will put it out on the street at 4-5%....
Very Lucrative
However, charging someone 4-5% is killing them and its just a matter of time before they get in trouble.
Borrowing $10K @ 4% you are paying $400.00 weekly and after keeping that money out for a year you paid back double what you borrowed.
At that point the "SHARK" should be cutting a deal with the borrower, pay me back $4,000.00 in one shot and we are even.
Usually the guys that get greedy are the guys that get jammed up.
They squeeze a guy too hard and he goes running somewhere.