January 24th, 2008

What Can We Expect on the Credit Card Market in the Future?

Unfortunately, the beginning of this year started with changes that will bring nothing positive to the US financial market. This week started from fall of the world stock markets. They say recession is inevitable. Constant growth of consumer debt, fall of stock markets and mortgage crises will lead to it. Experts say that America will probably face a crisis on the credit card market.
American banks are searching for ways out. They will need additional financial resources, one of which is the credit card system. One of the best ways to increase their profit is to raise fees. By doing these banks will hurt their trustworthy customers. However, cardholders will have an opportunity to get credit cards with lower rates. And the decision of the Federal Reserve to cut rates will be profitable for the majority of cardholders.
What people can do now? Americans are recommended to apply for existing credit cards before banks raise the fees.