deadline.com — The Federal Reserve announced it is sponsoring 45-second advertisements in movie theaters with tips to help shoppers avoid unnecessary credit card charges and fees. The PSAs already have begun appearing before movie previews at 12 highly attended theaters in major metropolitan areas during the holidays.
Dec 2, 2009 View in Crawl 4
samuraighostDec 2, 2009
Actually the devaluation of currency helps you pay off your debt. The dollars you borrowed had more value than the dollars you use to pay back your loan.Edit: I am assuming the double negative was unintentional.
numbDec 2, 2009
Your poor grandmother is one of the people that will likely be hit hardest by the scheme. When the effects of inflation hit, the money she has saved stands to be greatly devalued. Retired people may soon find that their retirement money has become worthless.
morginoDec 2, 2009
Do you think you're grandma is going to benefit by the current 12 billion dollar debt load soon to be 20? The dollar is no longer backed by anything and that started with the Fed, if you continue to print money at some point it's going to be worthless
govtdoesnotworkDec 2, 2009
Yawn.
jasonlimanDec 2, 2009
hmm interesting.I think this is beneficial for the viewers to understand credit card charges and fees. In digger's perspective, indeed this is a stupid idea beacuse we are all smart ass. But I can imagine a 45 seconds ad in movie theater is way more effective and it allows the viewers to become more aware of credit card use.I don't remember the last time I went to the movie theater, because I am cheap and it's expensive, it costs around $10 dollar on a regualar day. Watching a movie in theater is a luxury and luxury requires "disposable" money. And not everyone has that kind of money, especially for young adult, so they will end up using $10 on credit. It's fine if pay it on time, but it not, the over charges fee and interested rate will turn that $10 dollar movie in to $30 dollar in one month.
tsuruchibrianDec 3, 2009
Credit is not a bad thing.The bad part is when we bail out lenders when the borrowers can't pay. This creates an incentive for lenders to lend out money to borrowers that are bad credit risks, that they would not have otherwise.If we stopped bailing out lenders, they'd think twice about who to lend to and for what interest rate. This would have the effect of naturally weeding out many of the more unwise credit purchases.Allowing interest rates to converge to their actual market value would also help things out in my opinion. Whenever we create an artificial increase or decrease in demand for something, it distorts the market and usually makes it less efficient. Maybe it would work well if our politicians were wiser, but as it stands now, I think I trust the market to set prices more than our dysfunctional government regardless of who's in power.
lazyfishermanDec 3, 2009
The best thing about the Federal Reserve is the song..<a class="user" href="http://www.thesixtyone.com/paintingtasters/song/Federal+Reserve/SaE3pM8uOZ1/" rel="nofollow">http://www.thesixtyone.com/paintingtasters/song/Fe ...</a>I find it disturbing that there's a non-governmental agency with the power to create money out of thin air but now that we're hooked on a fractional reserve system, what other options do we have? So we audit and find out we've been lied to and billions of dollars either can't be accounted for or simply don't exist. What happens?
mweatherDec 3, 2009
I'm adressing jfitz369. Look at the post time. Not sure why it's out of order.
tsuruchibrianDec 3, 2009
Shooting people for borrowing money is obviously a stupid idea.However, IF it were implemented, I think it would severely reduce the price of property. With less demand for houses that relatively few people could afford, their value (i.e. what you can sell it for) would drop.Really the 2 things middle class people HAVE to buy on credit is a house and a car.Cars cost a lot of money in labor to extract raw materials, processing, machining, and assembling them. I don't think their price can come down very much unless the price of labor comes down. I think many people would have to just drive cheaper/worse carsHouses are sort of unique in that they are not "used up" like cars, but rather simply exchanged between people over many generations. Some houses need to be destroyed, and new ones built, but for most houses, their value is largely independent of the price of labor. This labor price is what keeps the prices of most products from dropping indefinitely with decreased demand/supply.
cowman80i9Dec 5, 2009
HA HA You'll soon find out money is just a means of exchange and can be whatever we want.
zeothsDec 6, 2009
*sigh* if only people traded with things of substance and value, not paper. gold anybody?