Disclosure Nonsense

Sunday, August 22, 2010
Posted in category The Legal State

Elizabeth Warren is a Harvard Law Professor who also chairs the congressional panel charged with spending your money monitoring the Treasury’s spending of the money used to bail out the U.S. financial system. She’s one of the many Central Planners who disguises herself as someone who protects you and has your best interests at heart. Here she is on credit card disclosure:

In 1980, according to the Wall Street Journal, the typical credit card contract was about a page and a half long. It told you about the interest rate, about being late and that was pretty much it. Today, the typical credit card contract according to the Wall Street Journal is about 31 pages long. So, tricks and traps? It’s that other 29 and a half pages.

Read the full blog and the link to her PBS interview.


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4 Responses to Disclosure Nonsense

  1. Michael says:

    August 23rd, 2010 at 12:12 pm

    And of course, like other contracts, consumers simply don’t read them. Well most of them.

    I remember reading one of these type of disclosures when purchasing a car a few years ago. The finance manager told me to sign right ‘here’, and pointed to an obvious spot at the bottom of the document. I began reading it and after 30 seconds passed, she reiterated, “All you have to do sir, is sign right here.” My reply: “But if I’m agreeing to terms, I want to see what they are.” Re response: “In my ten years of doing this, nobody has ever read this document, you can do it at home.”

  2. liberranter says:

    August 23rd, 2010 at 2:57 pm

    Today, the typical credit card contract according to the Wall Street Journal is about 31 pages long. So, tricks and traps? It’s that other 29 and a half pages.

    Whatever Warren’s agenda behind her remarks (and I have no doubt whatsoever that Karen’s characterization of her is accurate), and whatever their actual veracity, I think most, if not all of us would agree that this is just one more reason to pay off any remaining credit card debt we might have, ASAP, and shred all of the plastic in our wallets.

    Starve the beast!

  3. Clark says:

    August 23rd, 2010 at 11:02 pm

    Oh yeah, and it’s funny how it’s our responsibility to make sure the payments get to them on time (no problem there) but when they say they can change the terms at any time what they really mean is they don’t have to inform the customer when they do so. The excuse, “lost in the mail” works for them and not for you, and long after the fact/act, you’re still stuck with terms you’ve never seen .

    Yup,…this is just one more reason to pay off any remaining credit card debt we might have, ASAP, and shred all of the plastic in our wallets.

    Starve the beast!

  4. Iluvatar says:

    August 24th, 2010 at 1:33 am

    @ Liber: Amen!!!

    (hey that was short & sweet – coolio!!!!)

    (I thank god I have never been in credit card debt hell – them boys are nasty!)

    But also Amen on long contracts – if they’re long, let `em go – sage advice…

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