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On one hand consumers are being universally
criticised for running up significant amounts of
debt on credit cards, yet conversely many
companies are capitalising on the growing credit
card debt, from charities and political
organisations to football clubs, the Association
of Surgeons and somewhat ironically ActionAid,
an international development agency whose aim is
to fight poverty worldwide.
Financial comparison site moneynet.co.uk
provided 226 credit cards in a general credit
card search, from which the consumer could
choose a product to suit their lifestyle, as
well as their wallet. Credit cards with charity
branding involve many major organisations
including Amnesty International, Christian Aid,
WaterAid, RSPB, Save The Children, the Ramblers
Association, Oxfam, Greenpeace, the Vegetarian
Society, RSPCA, ActionAid, Children In Crisis,
Help The Aged, Tearfund and the Terence Higgins
Trust.
Perhaps it is fair to say that if people are
going to spend on plastic, they should be
helping charitable organisations on the way and
should they feel inclined to contribute to a
political institution, donating a small % of
each transaction is a convenient method. If most
consumers were ethical spenders, then
associations between transactions and third
party beneficiaries would inherit this quality,
but as debt spirals out of control, is it
responsible or ethical that someone should
benefit at the cost of someone else?
Although it is standard for most card providers
to offer an introductory free period, the
consumer may be hit by a more substantial annual
percentage rate (APR) later on the year, with
some providers, such as ASDA charging a massive
APR of 28.8%. Even ActionAid charges an APR of
17.9%, rescuing the developing world at the
expense of the developed.
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