Should credit cards come with warning lables?

[terry1156]

I was reading the news and how a group says that soda should come with a warning lable like cigarettes. When I started to think about it, it seems to me that it would be much more appropriate for credit cards to come with warning lables than soda. Do you think that credit cards should come with a warning lable and if so, what should the lable say?

[PRICEPLUS]

CC's should absolutely have warning labels!

[PrincessPerky]

Oh good grief, a skull and cross bones wont keep people from ciggs, why waste ink!

[karnic3881]

Originally Posted by terry1156

I was reading the news and how a group says that soda should come with a warning lable like cigarettes. When I started to think about it, it seems to me that it would be much more appropriate for credit cards to come with warning lables than soda. Do you think that credit cards should come with a warning lable and if so, what should the lable say?

Hmm that's a good question.

"WARNING - Please be advised that misuse of this card can lead to financial and personal devastation, as well as negatively impact your health as a result. Use at your own discretion."

I am sure the warning could go on and on... but Perky's right - look at all the smokers out there! When something can provide such a quick fix, people blow off the long term effects.

[terry1156]

Originally Posted by PrincessPerky

Oh good grief, a skull and cross bones wont keep people from ciggs, why waste ink!

I don't know. It's easy to be cynical about the smoking warning labels since some people still smoke, but they have educated a large number of people to the true risks of smoking - especially certain groups such as pregnant women. I'm sure that many less people smoke than if the warning labels never been put on - remember for years the tabacco companies said that smoking wouldn't harm you in any way. A warning label would in fact lead to more discussion about the hazzards of credit card use which can't be a bad thing.

[PrincessPerky]

I believe in honesty and I quit smoking long before I got pregnant, But I think all the research showing how people listen to ads and such, we should focus on ads, not on annoying CC companies who will NOT take it out of their profits, but will add the cost to the consumer. How many people actually read the fine print anyway? A warning lable is just fine print, only not so fine.

Like the 'brain on/brain on drugs' ads only for CCS or education or whatever, of all the things for the govt to waste my money on, why do they pick ineffective ones?

Oh I might be old, I think the current anti drug campaign is the umm well the 'anti drug one' with the music or whatever and the notes blasting the dealers away or somthing?

EDUCATION has encouraged a large number of people to quit smoking, not likelly the lable, if there was an exit poll of ex smokers how many do you really think would name the lable as the reason? I bet very few current smokers failed to know the risks before buying the first pack. (and how would they get the lable info before buying tha pack?) A lable is too late, Education needs to be out long before a kid gets their first card, or first pack of ciggs.

[terry1156]

I agree that the warning label in itself isn't going to stop a person, but I think you are disregarding the larger impact the warning labels had. Weren't the education programs the direct result of the tobacco industry having to place the warning labels on the packages? Before then, any mention that tabacco was bad for you would have likely resulted in an expensive lawsuit from the tabacco companies. Once the labels were placed on the packages, there was a reason for the education programs to start.

It also doesn't make much sense to me about the argument that having the credit card companies place the warning will just mean increased costs to us. The increased costs are guaranteed anyway. if education programs work and more people use credit cards respobnsibly, then the credit card comapnies will be forced to advertise more and spend more money getting the fewer number of customers - that means increase costs to everyone.

Don't you think that if there was a warning label, it would result in better education programs and more talk about credit card practices? I think it's important to look beyond just the label itself.

[obi_positive]

WARNING: This plastic is an addictive substance that creates short-term highs, followed by high-interest lows.

Credit card companies act like cigarette companies in that they try hook kids early and only talk up their benefits. It's not unusual for kids to use their parents cards at the mall. And credit is heavily pushed around college campuses. TV commercials tout cash-back and no interest for 3 months. You've come a long way baby, now scrape your way out of debtor's prison. There's a reason hard liquor and cigarettes can't advertise on TV. Smooth flavor is not why people keep smoking. Once you're caught in the high-interest trap, it's hard to escape.

I've totally digressed…

I agree that education is the real key. I had to learn how to use a checkbook in grade school. But I think limiting some of the advertising may help too.

[PrincessPerky]

Originally Posted by terry1156

I agree that the warning label in itself isn't going to stop a person, but I think you are disregarding the larger impact the warning labels had. Weren't the education programs the direct result of the tobacco industry having to place the warning labels on the packages? Before then, any mention that tabacco was bad for you would have likely resulted in an expensive lawsuit from the tabacco companies. Once the labels were placed on the packages, there was a reason for the education programs to start.

Actually I think they started cause in addition to the warnign labels the companies had to spend loot on education, so it did still end up comming out of smokers pockets, but like I said you can't read the lable till after you buy the pack, and once you bought it, you will smoke it. Hopefully you know the risks first (I did, didn't stop me, I wasn't planning on needing those 5 minutes of life, they were at the end anyway . then I fell in love, now my life is worth it, for ALL of it every last second I can be with him-now them, boy aint that corny .)

[QUOTE}It also doesn't make much sense to me about the argument that having the credit card companies place the warning will just mean increased costs to us. The increased costs are guaranteed anyway. if education programs work and more people use credit cards respobnsibly, then the credit card comapnies will be forced to advertise more and spend more money getting the fewer number of customers - that means increase costs to everyone.[/quote]

Actually increased cost to users, I don't pay for cigg ads anymore, only the consumer of the product whose company is being forced to spend loot of stuff will be paying. But yeah regardless of use CC companies are not reducing their profit margin, they are in fact looking to increase it of course, like any buisness.

Don't you think that if there was a warning label, it would result in better education programs and more talk about credit card practices? I think it's important to look beyond just the label itself.

Why must we start with a lable, like the one on a can of cleaning powder, "if you cannot read this do not use"! I think a lable would give a false sense of security, "well we warned them" humph, the lable on my hairdryer isn't what keeps me from dumping it in the tub, it is the murder movie I saw where the lady is killed in the tub from having the radio dumped in with her!

Education on money starts long before you can read and understand a lable, DS can't read the word 'pregnancy' but he knows I cannot drink alcohol, or eat to much junk, or drink caffine, 'cause it will hurt bby3'.

[jmjj215]

I think it would be totally fine if the cost was directly passed on to the consumer.

not on annoying CC companies who will NOT take it out of their profits, but will add the cost to the consumer.

When the price of an item is increased, demand decreases. Terry has it right. There would be less consumers of credit cards and that - in and of itself - would be a great thing.

[terry1156]

Originally Posted by PrincessPerky

Why must we start with a lable, like the one on a can of cleaning powder, "if you cannot read this do not use"! I think a lable would give a false sense of security, "well we warned them" humph, the lable on my hairdryer isn't what keeps me from dumping it in the tub, it is the murder movie I saw where the lady is killed in the tub from having the radio dumped in with her!

While a warning system to you may seem self evident because you have educated yourself in this area, for a lot of people who haven't been educated, won't a warning label (if written correctly) further the discussion and encourage at least a portion of the people to become more educated. I'm not advocating a warning label only, but a warning label as part of an overall education system.

When we were in debt, I placed my credit card in a paper sleeve and wrote in big red letters on the outside "think of the pain" It meant everytime I went to use my credit card, I was reminded that using it for something I really didn't need was going to cause me a lot of pain in the future with debt. Once I started doing that, my spending on my credit card decreased immensely.

Obviously a warning label is not going to solve the problem by itself. But I don't think that the harm credit cards can cause is as self evident as a hairdryer going into the bathtub for the majority of people (and when it is, then we know that the education process has worked).

[PrincessPerky]

Originally Posted by jmjj215

I think it would be totally fine if the cost was directly passed on to the consumer.

When the price of an item is increased, demand decreases. Terry has it right. There would be less consumers of credit cards and that - in and of itself - would be a great thing.

Ok you go tme there, though I suppose on occasion I do think I need a CC, I don't. I guess by all means add a lable .

[Bluezy]

Princess has a point there.

With the currently enacted US bankruptcy reform, the trend is now to NOT use credit cards. So it will be interesting to see what the companies do with these costs.

[karnic3881]

Per this discussion, I thought you all might find this journal entry interesting, courtesy of StopBuyingCrap.com:

http://www.stopbuyingcrap.com/?p=45

[Bluezy]

That is interesting!

[jmjj215]

Too bad it's peeled off, and not on the front and back

[gakline]

I don't think CCs need a label. When there are too many labels, people ignore them. Just like car alarms. Besides everywhere you listen there's talk about the real estate bubble and credit card debt and then the next tv ad it about debt consolidation.

[wholelottacoffee]

Originally Posted by terry1156

When we were in debt, I placed my credit card in a paper sleeve and wrote in big red letters on the outside "think of the pain" It meant everytime I went to use my credit card, I was reminded that using it for something I really didn't need was going to cause me a lot of pain in the future with debt. Once I started doing that, my spending on my credit card decreased immensely.

That is a fabulous idea! I am new to this discussion so pardon me if I am reiterating something that has already been said. But I agree with the point about how labels help to enact education. The question I wonder about is how to educate people, from the time they are very young so it sticks, about how long and potentially debillitating the burdens of debt are? Let's be honest -- the anti-drug campaigns of the Reagan era only stuck so far as it took many of us to reach high school and realize we could think for ourselves! I'm in danger of losing my point, so as far as measures to increase widespread understanding about the lure of a credit card, what would anyone propose?

[doglar]

They do come with warning label - or say a warning pamphlet - that used to be in font 3 but now has their rates displayed in font 25 in tabular format for easy comparision...still the stuff I look for is in font 1 (after I see the 0% claim) - is there a transfer fee? and 99% of the time there is one....so off to the shredder you go.......