The incredibly rapid fall of discount clothier Steve & Barry's continues.

Newsday is reporting that the company told the bankruptcy court that it has no available cash or financing, and that it needs proceedings to be streamlined so it can sell its assets by July 31st. Howard Davidowitz, chairman of Davidowitz & Associates Inc., a national retail and investment banking firm, told Newsday that the move is very unusual, and that it speaks to the tightness of the credit markets and the terrible state of Steve and Barry's finances.

The asset sale will be interesting -- many of the stores will be closed and it's possible that all of them will go. But Steve & Barry's model of ultra low-priced young adult-oriented apparel has value, as do its licensing deals with Stephon Marbury, Ben Wallace, Venus Williams, Bubba Watson, Amanda Bynes, Sarah Jessica Parker, etc. Wal-Mart Stores, Inc. (NYSE: WMT), Sears Holding Corporation (NYSE: SHLD), and every other retailer looking for inroads into the college demographic should be taking a look at this one. Acquisitions rarely create value, but buying this one off the scrapheap would likely entail very little risk.

BusinessWeek's "Debate Room" features an interesting point-counterpoint debate on the topics of Wal-Mart's (NYSE: WMT) foray into the banking and financial services industry.

Ronald Ence of Independent Community Bankers of America naturally opposes the move: "Federal and state lawmakers traditionally have limited banks' rights to conduct commercial activities and prohibited commercial firms from owning banks. The reason: to prevent a dangerous concentration of economic and financial power or a threat to the safety and soundness of our financial system and the federal deposit insurance fund."

Howard Davidowitz disagrees: "The hue and cry over Wal-Mart's attempts to expand its financial-services business is largely motivated by a single fact: The company will offer these services at a lower cost to the consumer, taking revenue away from competitors that happen to include banks."

While I'm certainly no great fan of the world's largest retailer, I'm inclined to agree with Davidowitz. If America's banking system was succeeding in providing value to low-income consumers, Ence might have a point. But Wal-Mart will primarily be taking market share away from loan sharks and payday lenders, and that's good for America. If companies like Bank of America (NYSE: BAC) would step up and offer products that make sense for low-income workers, I might be more inclined to oppose Wal-Mart's foray into banking. But the company could step in and provide a valuable service to a market that has been largely ignored and exploited, so why not give it a shot?