Even Alan Greenspan Recognizes It

On February 23rd in 2000, the U.S. Federal Reserve Board Chairman Alan Greenspan testified before the U.S. Senate Banking Committee. In his testimony, he mentioned that credit card solicitations were getting out of hand. "Children, dogs, cats, and moose are getting credit cards."

Robert Manning, in his book Credit Card Nation" mentions an example. "3-year old Alessandra Scalise's parents listed her occupation as "preschooler" and stated that she was applying for a credit card to buy toys. The preapproved application from Charter One Bank - which was sent in Alessandra's name to the family residence - was approved - even without a Social Security Number, no listed income, and no other relevant financial information. Furthermore, Ali's card came with a credit limit of $5,000 - more than her parents' card." (pg. 344 no.23)

Irresponsible lending does not justify reforming bankruptcy laws, as Congress has done in April this year. It has contributed to an explosion of bankruptcies, which Congress has apparently agreed with the authors of the bill (the credit card companies) that it is the consumers who are abusing the law not the credit card companies.

If consumers learn the truth about this, and begin to demand fair treatment, the abuses will come to light. Remember, voters' votes put our representatives in office. Voters must use that power to counter the money buying votes on legislation. That is what "personal responsibility" is about.