Neither Political Party Will Protect You From Predatory Credit Card Companies

James Rozoff
4 min readAug 24, 2024
Photo by Clay Banks on Unsplash

Consumer credit cards came into existence primarily for two reasons: to enable people to pay for necessities for which they otherwise could not afford and to permit people to buy things they do not need and cannot afford, like video game consoles and ground lights for their car. In the first case, credit cards do nothing to address the underlying problems of the people who use them and in the second case they create a problem where none would have otherwise existed. An entire industry, which raked in more than $176 billion in 2020, now exists that is nothing more than a bleed on society (1). An industry that helps no one and hurts millions.

In 2023, credit card debt was far and away the leading source of non-mortgage debt, nearly as much as the next 4 sources combined.(2) Furthermore, the average annual interest rate for a credit card is 24.92% (3). By purchasing a non-necessity and not paying for it for a year, you are paying nearly 25% more for something a.) that has likely lost much of its value and much of your interest b) who’s price has most likely come down significantly over the course of a year (like, say, a new phone or the aforementioned video-game console).

Whether credit cards are being used for necessities or luxuries, whether they are helping people through hard times or…

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