Credit Card Spending Down By 10%, Ours Is Down By 50%

The word from the credit card industry is that business is quite a bit tougher these days with many customers defaulting on their payments, so the card companies are responding by taking steps to minimize their risk: they’re increasing interest rates, closing problematic accounts and cutting credit limits. Well isn’t risk reduction a good thing? Having less credit can have its positive and negative consequences, depending on whom you ask: