Changing Culture of Debt
New York Times has a great interactive piece on the changing culture of debt not only across the U.S., but across the world.
With the recent bailout of Fannie Mae and Freddie Mac, it’s a good look and discussion of how we got ourselves into this situation, and what the corporate lenders have done to help us into this situation of debt, mainly through the use of home equity loans, and credit cards.
In a nutshell, it discusses how credit card companies have taken one of our favorite past-times of accumulating debt, and faster than a liberal to a gay-pride, pro-choice rally, spread it to other nations. The authors of the piece also have the wherewithal to speak with enough honesty to tell it like it is. They stop short of saying that it’s a bad move but essentially describe it as a Hurricane Ike in the making… It’s fast and wet at first, but it’ll eventually take your house and car.
I’m all for a credit industry in burgeoning markets (as it buys daddy his new shoes), but only so long as it is done responsibly, and corporate America in all honesty has done nothing to reassure us that this is the case.
Tags: business credit card, credit crisis, business, Credit Card Issuers, Credit, Banks
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