I was watching the CBC News and it was covering a story on a couple in the U.S.A that had $20,000 in credit card debit alone. They missed a payment and instead of having interest of 18.99% it went up to 34.99%. It seems to me what the financial companies should be doing if they are concerned with preventing a recession, due to them over extending themselves, is instead of increasing fees and penalties to those that cannot afford what debit they already have (assuming these companies want the debit to be managed instead of people going into bankruptcy) is teaching those how to managed their debit. This includes helping them set a payment schedule for all their payments (rent/mortgage and debts as well as (lowering or at least) keeping their interest rates the same instead of increasing them at least until their debit/payments become manageable. This will result in the financial companies being able to make their revenue because people will not go into bankruptcy or otherwise default on their loans; it will go towards preventing a recession as these financial companies will be able to continue to invest in the economy and thereby continue to make revenue (to invest in themselves and so forth).
