December 17, 2008
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News: Can Rules Substitute for Wisdom?
We have some fresh new rules coming out tomorrow that are intended to protect credit card consumers. Most would agree that this is a good thing. But, do we believe that it ends there? While it may be true that there will be less confusion over the fine print, is that enough? It may be true that these moves will assist many debt-ridden credit card holders to regain solvency and even help the credit card industry, by getting these loans paid off, albeit, a little slower. Still, the looming question remains: "Have we gained any virtue from it?"
The virtue so lacking here, is the folly in allowing deep debt. This doesn't only apply to credit cards, of course. Perhaps, even more important is the virtue of intolerance to reckless lending and borrowing on the part of mortgage lending and our national debt. Would we ever allow another President to hock our nation's fiscal credibility? Would we turn a blind eye from high-level corruption? Will we exonerate the guilty among us today? Certainly we all share part of the blame, if only for tolerance. What we tolerate becomes accepted around us even if we don't participate. Eventually, we become engulfed in it. Perhaps the least guilty (tho still guilty) are those only involved in the credit card crisis.
Many mothers were just trying to feed the kids when the money ran out. Fathers were just frying to have enough gas to get to work (or look for work). The credit card industry was fairly good to us until even their backs were against the wall. Millions of people were caught up in the current crunch, through no fault of their own, when their jobs were cut short. Still, we should understand now that financial security demands fall-back resources other than debt alone. Savings accounts and safe investments along with spending temperance have to be considered essential, not optional.