As this blog has mentioned, credit cards have been around since . and have become a very large part of our lives.  However, the next two posts question whether we may have been witness to the peak of the credit card industry…

As the financial crisis worsens, anybody within the credit industry could be forgiven for pondering the future of credit cards.  Although we have come to take credit for granted, could the increased paranoia about lending and spending mean that banks have to reconsider just how many credit cards they are willing to provide to money-strapped public?  They are already raising interest rates and imposing strict rules on just who can and cannot get which kinds of credit cards, yet many think this is just the very start of the financial crisis!  Who knows what the overall impact on credit cards will be by the time things start to brighten up.

It’s not just the banks that may cut back on credit cards either; we, the people, may very well start leaving our credit cards at home as the financial situation worsens.  After all, the economic depression was caused by our reckless spending and has already consumed many a job, retirement plan and house; it should be obvious why even the most addicted credit consumer might start thinking twice about reaching for their plastic in times of need.  In fact, bank executives in America have confirmed a change in spending behaviour, claiming that more customers have started using their credit cards for small purchases like food and fuel, whilst holding back from purchasing expensive items altogether – this seems like a step in the “right” direction, doesn’t it?