Why is Magic Johnson shilling for Rent-a-Center?
Filed under: Ripoffs and Scams, Celebs & Money
Last month, the Washington State Attorney General sued Rent-a-Center, a leading rent own store operator, accusing the company of a slew of illegal, anti-consumer practices.The most puzzling part of the story, for me at least, was the fact that former Los Angeles Lakers star Magic Johnson is working for the company as a spokesman, and is featured prominently in the company's televised ad campaigns.
Consumer advocate Edmund Mierzwinski, Consumer Program Director for U.S. PIRG, told me what he thought of Johnson's endorsement of the company in a phone interview: "There's a lot of people that I'm unhappy with what they do to make money, and Magic Johnson is one of them. There is nothing good about rent to own and promoting rent to own is promoting a predatory product and people will never get ahead with it. Rent to own promises the dream of ownership and then takes it back with a 100-week contract. It's very difficult to meet the terms of the contract and when you don't meet the terms, they may come and violate the debt collection laws. I thought Magic Johnson made enough money playing for the Lakers. He's got to be able to find better endorsement deals than this."
And this isn't the first controversial business practice Johnson has lent his name and credibility to. He's also served as a pitchman for Jackson Hewitt's tax refund anticipation loans -- loans that carry an annualized interest rates of upwards of 100% in some cases.
Mierzwinski added that Rent-A-Center and the predatory lending industry have a well-documented history of targeting low-income minority communities with their "services" -- it's probably that desire to target those communities that has led them to seek out someone with the stature of Magic Johnson as a spokesperson.
And it's shameful that Johnson has allowed his integrity to be sold to groups that seek to exploit the communities he is such an icon in.
We contacted Rent-A-Center for a response, but hadn't received one. We'll update if we hear back.
Reader Comments (Page 1 of 1)
8-06-2009 @ 6:22PM
Damien said...
Who gives a shit, Magic Johnson should be dead by now living with HIV/AIDs as long as he has. Where is the story about how he survived the 90's with such a deadly disease? Rent-A-Center is a business people can either partake in or not. If they can't afford something, this is the best way for them to get it, so why knock their hustle?
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8-06-2009 @ 9:59PM
ceci said...
In 'A Man For All Season" it is quoted that every man has a price, and aptly so, Magic Johnson has his. Why is he so monetarily bent on being the pitchman for businesses which blatantly engage in predatory and vampire-like practices on minorities and low-income people? Shame on you, Magic Johnson! You are a L'Estat! You are Pimping some of your own people. Shame! Shame Magic Johnson! Shame!
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8-07-2009 @ 9:58AM
Robert said...
As a long time Laker and Magic Johnson fan I was deeply disappointed that he chose to shill for Rent-a Center. Johnson has done alot to promote businesses and jobs in poverty stricken communities, and that makes his promotions for RAC all the more ridiculous. I hope he opts out of the rest of his contract. It's despicable.
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8-08-2009 @ 12:11AM
Shirley said...
I TOO AM THOROUGHLY DISAPPOINTED AND APPALLED.
IN MR.JOHNSON 'S PITCH HE MENTIONS THAT NOT ONLY IS HE ONE OF TEN CHILDREN BUT THAT BOTH PARENTS WORKED IN ORDER TO MAKE ENDS MEET.
IN FACT HIS DAD HAD TWO JOBS AND MOM DID SOME KIND OF BACK BREAKING MENIAL WORK.IT IS HIGHLY DOUBTFUL THAT THEY WOULD HAVE THROWN THEIR HARD EARNED MONEY TO "LIKE " SCRAM ARTISTS.
.
RENT- A- CENTER OBVIOUSLY PREYS UPON THE "NEEDY. MAGIC JOHNSON IS JUST PLAIN "GREEDY",
ALERTMUSE NYC
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8-08-2009 @ 10:44AM
Proctologically Violated said...
Magic Johnson is predatory scum.
He owns about 100 starbucks franchises, and another hundred burger king/McDs/KFCs.
He thinks he's doing poor people a favor by getting them to fork over $5 for a 50c cup of coffee, and offering them crap junk food.
So it is not strange that the carpetbagging Johnson endorses Rape-a-Center, as he seems to be in the business of screwing his own people.
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