Thursday, September 27, 2007

Bankrupt candidates

IT's hard enough to believe that Dem candidate Mike Gravel proudly proclaimed yesterday that he had "stuck the credit card companies with $90k worth of bills.... they deserved it!"

But what still baffles me is why no Democrat politician and no leftist voter seems to understand that in cases like that, the 'credit card companies' do NOT pay that bill.


No company simply absorbs business write-offs without making their best effort to pass the cost along to its customers. And in the case of credit card banks, it's quite easy to do so with a simple adjustment of future rates and fees, mostly for the less wealthy customer.

You see, they have to compete fiercely for the good customers, the ones with good credit who demand low rates and can get them. But the less well-off, the 'working poor', they have to accept much higher rates because it's all they can get. Their credit is not sufficient to give them bargaining power. And they need the cards more than the wealthier people do, because they don't have any cash for daily purchases.

So yesterday's 15% rate becomes today's 15.5% rate for this kind of customer (the one who cannot afford any increase in monthly bills), and the rate creep is thanks to weasels like Mike Gravel, who proclaim they've stuck it to the banks but have actually stuck it to their own constituents.

Democrats simply don't live in the real world and don't get held accountable for the real world consequences of their ideas and actions. Gravel's perverse pride in his own bankruptcy, as if he had done it on behalf of the American public, is the twisted result of the constant Dem haranguing of 'the evil corporations'.

Eyes open, voter; these people should not be in charge of anything.

p.s. Please note these banks, like Citi and Bank of America, are making annual profits in the 30% range, compared to ExxonMobil's single digits. If Big Oil is EEEEVIL, then these banks are EEEeeeeeEEEEEeeEEVVIIILLLLLLLL........ but you don't hear much about 'em from Dems (excepting, of course, the perversely proud Gravel).

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