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Creditor Abuse

Society is rapidly leaning on credit cards. More consumers prefer to carry plastic insteadof cash. Moreover, the privilege of holding a line of credit is convenient and useful in todaysworld. From hotel reservations and apartment rentals, to ordering online products, families arerelying on credit as a time saving devise. As the importance of credit soars, money hungrycreditors are taking advantage of the publics reliance on credit cards. Credit cards are essential for the escalated pace and demands of todays society.Consumers are increasingly using credit cards to simplify their spending. In addition, carryingcash is more dangerous than carrying credit cards and cash is more difficult for record keeping.In Fact, Hickey (2000), states that cards are safer than cash and necessary for online shopping. Inregards to record keeping, reasonably, 45% of the consumers feel comfortable with using cardsfor the purposes of daily living (Using Credit, 1998). In short, because most families are busierthan they used to be, limited time necessitates credit card usage for accurate records and timemanagement. Credit card companies are creatively abusing the American consumer. Robert Heady(1999), founding publisher of Bank Rate Monitor, contends that creditors are making substantialprofits from various unfair practices. Heady identifies the strategies as late charges, over limitfees and inaccurate account information. For example, one consumer states that his creditorclaims that it takes thirteen days for the company to post the payment, resulting in a late charge,but the creditor sends the bill without adequate time to pay thirteen days in advance (Heady, 1999). Moreover, fees have soared by 75 percent in the past four years, according to ConsumerAction, the San Francisco-based consumer advocate (Heady, 1999, p. 16). Furthermore,inaccurate information posses an equal threat to consumers. To illustrate, Heady (1999) purportsthat an individual ...

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