Today's Credit Card BS Meme

From: Reader X
Sent: Tuesday, May 19, 2009 2:17 PM
To: trey white
Subject:

I like Obama 1 minute & then hate him next. Guy is squeezing the middle class to death.. seems like all I’m ever doing is covering for the slackers. Latest being this credit card bill where now I have to be penalized for paying my card off on time to subsidize the losers who don’t pay theirs..

“It will be a different business,” said Edward L. Yingling, the chief executive of the American Bankers Association, which has been lobbying Congress for more lenient legislation on behalf of the nation’s biggest banks. “Those that manage their credit well will in some degree subsidize those that have credit problems.”

Banks are expected to look at reviving annual fees, curtailing cash-back and other rewards programs and charging interest immediately on a purchase instead of allowing a grace period of weeks, according to bank officials and trade groups.
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From: trey white
Sent: Tuesday, May 19, 2009 2:21 PM
To: Reader X
Subject: RE:

You are going to take the credit card issuers chief lobbyist’s BS verbatim and decide Obama is “squeezing you to death”

I have deleted twice other commentary in this email so I will leave it at that.
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From: Reader X
Sent: Tuesday, May 19, 2009 2:26 PM
To: trey white
Subject: RE:

But it makes sense the banks have to supplement that income some how.. I don’t think they will go as extreme as charging interest immediately on purchase but I just hate being penalized b/c of other people’s greed.
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From: trey white
Sent: Tuesday, May 19, 2009 2:30 PM
To: Reader X
Subject: RE:

IF credit issuers were mandated to provide cards to bad risks then the meme makes sense

Look at it this way, if this meme were true, then your rates have been held down because the bad risks are subsidizing you in which case you are taking money out of the poor people’s pockets. Is that likely? If it is true, then your rates need to go up to a “fair” non-subsidized level.

In reality and what will happen barring some sort of mandate to provide cards to bad customers, credit issuers can simply not issue cards to the bad risks. This whole
story is BS perpetrated by credit card companies.
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From: Reader X
Sent: Tuesday, May 19, 2009 2:35 PM
To: trey white
Subject: RE:

This is why I run things by you before I get too worked up. If they simply don’t issue card to bad risks then I’m OK. makes sense and in reality doing people a favor so they don’t get themselves in further trouble.

In actuality cutting back of cards has already taken place as the amount of offers in the mail has dropped dramatically..