Bernie Sanders interest-rate cap could end credit-card rewards programs
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Re: Bernie Sanders interest-rate cap could end credit-card rewards programs
#2More importantly it could end credit card access to subprime members. There already aren’t a lot of cards to build (or rebuild) your credit.
It is possible that issuers would respond by replacing with secured cards but consumers hate those and introduces a lot more friction into process.
Re: Bernie Sanders interest-rate cap could end credit-card rewards programs
#3Lots of speculation, mostly from owners of Web sites which profit off marketing credit cards. The article tries to claim that low-interest loans are BAD for consumers because they "generally set at a higher amount each month". Do they really expect any intelligent person to believe this shit?
Re: Bernie Sanders interest-rate cap could end credit-card rewards programs
#4More importantly it could end credit card access to subprime members. There already aren’t a lot of cards to build (or rebuild) your credit. It is possible that issuers would respond by replacing with secured cards but consumers hate those and introduces a lot more friction into process.
There already aren’t a lot of cards to build (or rebuild) your credit.
I never understood that. You'd think that creditworthiness means that you have a habit of paying your bills on time, and that your scheduled payments are in proportion to your income. Nothing more. But in America they insist that you have a credit card and have a history of paying that. It's a problem when you are a recent immigrant and seek to get a mortgage because you'd like to settle in a certain town. If the Sanders proposal does something about that craziness I'm all in favour.
Re: Bernie Sanders interest-rate cap could end credit-card rewards programs
#5Lots of speculation, mostly from owners of Web sites which profit off marketing credit cards. The article tries to claim that low-interest loans are BAD for consumers because they "generally set at a higher amount each month". Do they really expect any intelligent person to believe this shit?
Do they really expect any intelligent person to believe this shit?
The Fox News commentariat will swallow it wholesale, and they are more numerous.
Re: Bernie Sanders interest-rate cap could end credit-card rewards programs
#6Credit card rewards create a very bad incentive because they push consumers to choose cards with high merchant fees, who then have to rise their prices and make everybody pay the bill.
Thus creating a race to the bottom with ever-increasing credit card fees.
Re: Bernie Sanders interest-rate cap could end credit-card rewards programs
#7And that is bad because..?
Credit card reward programs exist to encourage spending on massively over market interest rates.
Also, capping the interest rate doesn’t reduce the benefit to making encouraging people to spend and carry debt, so I doubt they’ll go away.
Re: Bernie Sanders interest-rate cap could end credit-card rewards programs
#8And that is bad because..? Credit card reward programs exist to encourage spending on massively over market interest rates. Also, capping the interest rate doesn’t reduce the benefit to making encouraging people to spend and carry debt, so I doubt they’ll go away.
>Also, capping the interest rate doesn’t reduce the benefit to making encouraging people to spend and carry debt, so I doubt they’ll go away.
That is exactly what it does. The benefit to people carrying debt is the interest they pay. If you reduce the interest rate, you reduce that benifit.
Re: Bernie Sanders interest-rate cap could end credit-card rewards programs
#9Lots of speculation, mostly from owners of Web sites which profit off marketing credit cards. The article tries to claim that low-interest loans are BAD for consumers because they "generally set at a higher amount each month". Do they really expect any intelligent person to believe this shit?
Do they really expect any intelligent person to believe this shit? The Fox News commentariat will swallow it wholesale, and they are more numerous.
Are they more numerous, though? I don’t know, but recall that Dems did win the popular vote.
More vocal and likely to act in a coordinated effort? Unfortunately, probably.
Re: Bernie Sanders interest-rate cap could end credit-card rewards programs
#10Lots of speculation, mostly from owners of Web sites which profit off marketing credit cards. The article tries to claim that low-interest loans are BAD for consumers because they "generally set at a higher amount each month". Do they really expect any intelligent person to believe this shit?
Do they really expect any intelligent person to believe this shit? The Fox News commentariat will swallow it wholesale, and they are more numerous.
But are MSNBC viewers likely to believe their decision making is somehow not their fault, and routinely choose loan shark-esque credit?