Obama now wants to go after "predatory credit card" companies?

Question

because they are the ones responsible for putting Americans into debt. In my opinion, Americans' lack of personal responsibility is what is getting them into debt. Keeping up with the Jones's is the #1 cause of credit card debt. You and you alone are responsible for your finances. if you cannot understand simple economics, you really shouldn't be messing around with credit cards, or any other type of monthly payment plan.

in response to people not "seeing a question"

Why is Obama pandering to Americas stupid?

Answer 1

I agree with you on the use of credit cards, as far as why is he doing this?

That's easy, pandering to stupid Democrats Is the only way he can get elected.

Answer 2

Really do we need government involved in every aspect of our lives? What's next, are people going to ask the government to hold their hands while they cross the street so they don't get hit by a car? It is called "personal responsibility" and as a matter of fact, credit card companies DO inform you of the interest rates up front. The problem is that some people are just too lazy to read the fine print. If people don't want to pay a high interest rate on a credit card, then they shouldn't use it.

Answer 3

You are correct, but what's your question! You can't stop people from spending. Perhaps you can limit what CC issuers charge for interest, but that would probably violate some other law on the books. What should really happen in a true free market society is that all those CC co.'s and subprime lenders, should be allowed to go under! That would rock the boat like the Titanic and cause market CHAOS! Then, when the dust finally settles, things might be worth their actual value and not some inflated number that shows all the wonderful growth in america! Let a few banks tank, and watch what happens!!!!!

Answer 4

Sure it's about personal responsibility. I agree.
The thing is, we are bombarded with credit and how much better we will be if we Just use a credit card. The credit card companies encourage us to spend, spend, spend. You can't walk into a store without someone shoving a credit card down your throat. We are taught at an young age to worship the fico score and to borrow money. Buy now and pay later.
Nobody is taught to pay as you go and live on less than you make.
Using credit cards is irresponsible.

I personally think the government should stay out of it and the people just stop using credit cards and live on less than they make. We have to much government!

Answer 5

Regardless of whether people are ignorant, it does not entitle companies to exploit the ignorance of the people. Any predatory company should be gone after. Moreover, a 'simple understanding of economics' should tell you that the effect of mass credit failures effects not only those who default on their loans, but also much of the larger general public, even those with good credit. As such, it is to the advantage of those with good credit that 'predatory credit card' companies be prevented from extending excessive credit to those that cannot afford nor manage it. It affects all of us.

Just telling people that 'you cannot understand simple economics therefor do not get credit cards' is not going to do much to fix the problem. Credit should be made much more difficult to obtain, where it would force many to pay cash for material items, especially those not necessary for their survival.

Answer 6

I agree charging 30percent default rate is outrageous. Just for missing one payment even if it was oversight that credit card and all of your other ones adjust to a default rate of 30 percent. This happened to me 6 years ago, i did not have a job that paid as much, just got out of college, just got married and 24-30 percent interest rate on 9k of debt was killing me. Right now i have credit cards all with 0 balances, however i figured i pd 4k in extra interest due to missing that 1 freak-in payment. I did call the credit card companies too and they would not do a thing. So yes that is predatory companies getting you trapped hoping you default and jack your interest rates sky high. Yes i do agree for some type of punishment like late fees ect, and maybe applying a default rate on someone who did not pay for 6 months.

Answer 7

I love marmelaide's answer I already do the same thing, I send coupons for pizza to the bank in the postage paid envelopes, along with a note that they should relax and enjoy life, cause I just saved them $2 on a pizza.

Also I figure using all those envelopes keeps the post office busy and the price of stamps down :)

The real issue is that we're a cashless society. People don't have the hurt anymore of digging into their pocket and digging out $300 to buy that ipod.

Answer 8

Obama is oandering to america's "stupid" because a majority if people that are in Credit Card debt are the middle class normal families that will be voting! If you want to rant start a blog, keep it off of here

Answer 9

The companies are not responsible for putting anyone into debt but their business practices are less then desirable. People put themselves into debt and the companies will prey on the ignorant. I don't see a question here though...this is not a soapbox standing site.

Answer 10

I agree with most of you here, however, being in a democracy means that if there is a way to make money, no matter how unscrupulous, there will be takers. The banks are too used to getting that portion of income, do you think that they would settle for less in the general interest of being a Good Samaritan?

Answer 11

If every time someone gets an offer in the mail that they are "pre-approved!" they would send the prepaid envelope back with only a note inside saying "please leave me alone", imaging how much $ the credit card companies would lose on postage? Just a thought.