Quote:
Originally Posted by Tom
You want to kick the economy in to high gear?
1, Erase all credit card debt. This frees up billions of $$$ for spending.
2. Cancel all credit cards. This clears the system.
3. Implement common sense credit car program with reasonable, fixed interest rates and reasonable limits. Prohibit advertising for CC's. Make the person work to get one, and work to keep it.
With the obscene interest rates CCs have been charging for years, anyone that goes broke taking the current CC balance hit probably is not responsible enough to remain in business anyway.
I can see an economy souring with money being freed up to churn its way around the country.
Why go after the rich when you can go after their banks?
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The next bailout will be student loans, imo, not credit card debt. Currently, Sen. Durbin is proposing a bankruptcy reform bill that will make it much, much easier to discharge student loan debt in the bankruptcy process (nearly impossible now). I'm opposed to this b/c guess who picks up the tab when student loan debt is written off? The taxpayer.
On credit card debt, why should it be eliminated? It would leave a gapping hole in the capital cushion at banks. So what, you might say? That would curb lending and slow the economy. No free lunch. Otherwise, the Chinese who have major debt issues at the local and business level, would just write-off all their debt.
