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Abstract

This Article considers fringe banking issues—the gaps or problems in service for both individuals and businesses when the usual banking channels are impractical or even unavailable. Some people may only have recourse to the robust, but often very expensive and less protected, financial products sold for what is, or is supposed to be, a very shortterm basis. The Article first examines the fringe banking world, but ultimately considers whether and how consumer protections are needed for franchisees. Small businesses, including franchisees, are often the forgotten players in the fringe economy. If a franchise actually engages in selling fringe banking products, it almost certainly got to that position by not engaging in the financial practices it now trumpets and sells to others. If a franchisee buys fringe banking products, whether and how this small businessperson deserves the regulatory protections of a person not engaged in business is a matter not just for statutory or administrative law but also requires consideration of the franchise relationship and its likely impact on franchisee finances.

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