Credit Card Debate

A. Introduction:
Who is to blame for the recent crash of the credit card industry: issuers or consumers? Numerous citizens think that credit card companies have greedy loan customs whose intent is to provide loans to unstable consumers. Others citizens think that consumers should be able to handle their purchases in a competent way. And others believe that the issue stems from both customers and credit card issuers. That each side of the debate generates a responsibility to be reasonable, lenders in their lending and consumers in their spending. This paper will examine a short history of credit cards, look at bank lending practices, consider consumer responsibility, and we will discuss the current CARD Act that the government issued to solve some of the current financial problems as well as some other recommended resolutions to the economy's current crisis. Credit card companies focus on making a profit in order to benefit society as a whole. The problem lies within their lending practices and offering credit to risky consumers, which they make the most money from, but in the end it hurts their business and the economy when these risky consumers can not afford to pay their bills. The issue of lending practices needs to be resolved in order to stabilize the economy and build a trusting relationship between lenders and consumers that will continue to benefit society. The fact that the credit card industry crashed because of lending practices and consumers' irresponsibility is an issue that needs addressed for the economic system of the United States to be able to turn around into a positive direction and continue to grow.
B. Viewpoints:
The credit card industry directly effects the financial system of the United States, and the worldwide economy. We are an entrepreneurial nation that allows our people the right to become prosperous in order to advance our nation together. Credit card companies make millions of dollars in profits every year, except if they choose...