“Would you like a credit card with that?”
Credit cards have been served up like French fries at fast-food restaurants.
That’s about to change. According to a recent article in the Wall Street Journal (subscription required) about Chase dropping the Starbucks Duetto Visa card, credit card issuers are “pulling the plug on some of the specialized, reward-loaded plastic they pitched to consumers when credit was easy and wallets were wide open.”
Just as eating too many fries clogs your arteries, too many credit cards have caused financial arrest. The explosion of niche-branded cards — whose rewards are tied to a specific brand or product — has imploded consumers’ bank accounts.
Mexico’s love affair with high-interest credit cards appears to have been a short-term romance.