Recent Survey Says Interest Rates Too High
ChristiaNet.com (http://www.christianet.com), the world’s largest Christian portal, has recently conducted a survey to ask its website visitors, “Are interest rates too high?” An overwhelming majority feel that the interest on credit cards extends the payoff of the principle exponentially.
Many banks charge customers for being one day late by charging steep late fees. In addition, banks raise the interest rate to penalize them further. One consumer who responded to the survey wrote, “They are often too high for strugglers and do not stay constant in the original contract. Buyers beware!” Many survey respondents believe that greed has a lot to do with interest rates being so high.
Out of 185 participants surveyed, 111 of them answered “yes” to the question, “are interest rates too high?” One website visitor made an observation worth noting: “Certainly, always, but it doesn’t really affect the disciplined. When we learn God’s principles concerning money we can bypass a lot of these things.” One respondent compared a lending institution to a “mob affiliated legal loan shark.” A different person responding to the survey posed a different side to this dilemma by bringing up the point that those who owe on credit cards can benefit from the experience by realizing the seriousness of controlling their money.
Of all the respondents, seventeen did not feel that interest rates are too high. One participant in this group compared the current day rates to those in the 1970s. One respondent said, “I don’t have a credit card so it doesn’t affect me.” Another interesting comment from this group related to these times as being the “best of times” with “all time lows.” This is definitely true if one looks at the current mortgage rates. However, it may depend on the current credit score of the borrower as to what rate is awarded, and the overall interest paid can depend upon the type and length of the loan.
Fifty-seven respondents were unsure if interest rates are too high for various reasons. One respondent felt that with all the competition between banks that there are many options. Most people would agree that it is best not to go into debt. But, as one respondent commented during the survey, “Sometimes in an emergency it can’t be helped.” Another respondent made the point that rates vary depending upon where a person lives. Overall, most survey participants agree that interest and fees on credit cards are too high. For more information, visit: http://www.christianet.com/articles/