The Fed Does Credit Card Education
The Federal Reserve went live with a new web site yesterday meant to help educate consumers about credit card terms and disclosures. It's actually pretty nice and should be helpful to anyone who lacks a robust understanding of credit cards. Check it out here. I'm impressed with the site's good functionality and broad information.
The site has a several central functions:
- Explains how to understand credit card offers
- Helps consumers read credit card statements
- Provides a card payoff calculator
- Explains the new credit card rules that take effect next week
- Provides a Public Service Announcement video (complete with soft jazz)
It also has tips for improving your credit score and using your credit card wisely. Additionally, the site includes a terminology glossary and a summary of credit protection laws.
Many of the features are interactive, with additional information appearing on graphics as you scroll over. The website is quite good.
It's nice to see the Fed take its duty of educating consumers seriously. I hope this new site gets significant exposure. One of the best ways to improve the credit industry is simple education. And the Internet can be a powerful tool towards that end. If all borrowers had better understood some of the mortgage products they were signing onto during the housing bubble, for example, the market's collapse wouldn't have been as severe.