Thursday, July 15, 2010

Retro Review: Run to Gold



AMAZON SUBSCRIPTION LINK: Run to Gold, published by Premier Ark


BLOG DESCRIPTION: Run To Gold is built to educate you on principles of monetary theory and science. Whether you should purchase gold is a completely different issue from whether you should use the monetary metals, gold and silver, to perform mental calculations of value or the pricing mechanism.

MY REVIEW: In this day and age, knowing what to do with your money is paramount. And everything is so confusing. Is it safe to put your money back into stocks and bonds? Will the government take it all, or will the stockbrokers lose it all for you?

It doesn't matter how much or how little money you make - and if you make a little money hopefully you are working on ways to - legally and ethically - make it more money, you must educate yourself on the process, and keep abreast of what our government plans to do with your money.

This blog is a start.

It's also a blog with an ugly, ugly website, which is why it makes sense to subscribe to it via the Kindle, so you can get the entries without tring to figure out where the heck they are on the website!

Some sample paragraphs
H.R. 627 The Credit Card Act of 2009 is a sweeping reform of credit card law. Many consumers are concerned over how this act will affect their spending capacity throughout the new year. The act is called into effect in February, meaning consumers will have very little time to determine how to use the act to their advantage.

While there are advantages to the consumer in 2010, the act may also adversely affect the economy, according to some analysts. However, conclusions are anything but cut and dried. For those that need a little more information, here are some details about the way the first serious credit card reform in history may affect you—and the economy at large—in 2010 and beyond.


H.R. 3639 The Expedited Credit Card Accountability, Responsibility, and Disclosure Act of 2009, also known as H.R. 627 The Credit CARD Act of 2009, will dramatically affect regulations on credit cards beginning in 2010. The act aims to improve transparency between credit card companies and the American public, many of whom hold credit cards, under what the government calls an “open-end consumer credit plan.”

The act requires first and foremost for credit card companies to give consumers a month and a half (45 days) of notice if any increases in interest rates are going to be enacted. It also gives card owners the right to cancel their credit cards and pay any outstanding balances once these hikes are enacted.

Credit card companies are prohibited from retroactively increasing their interest rates for cardholders in good standing with the company, and the act does not allow credit card companies to arbitrarily change their agreement with cardholders. Finally, the act prevents companies from imposing unfair or excessive fees on cardholders, which will likely effect those with subprime and secured credit cards.

In summary, the bipartisan measure is meant to protect cardholders from unfair or unclear actions on the part of credit card companies and the big banks like Bank of America (BAC), JP Morgan Chase (JPM), Citigroup (C), Wells Fargo (WFC), and etc. along with their nefarious cohort Visa (V).


It is no secret that some credit card companies and big banks have been acting unfairly for years, like Monex, and that the fees they collect from the general public are not clear and reasonable. Unfair fees and interest adjustments have been banned, meaning that consumers will be given information on how credit card companies are changing their terms at least 45 days in advance.

“Overdraft” coverage will also be opt-in instead of opt-out, which means that over limit charges may not be incurred automatically due to consumer unawareness, and that the card may be denied if you are over the limit and this may have a positive effect with credit cards and identification with potential credit report issues.

The terminology of credit card companies must be made clear in advance, with promotions being disclosed in plain and simple language, and terms that do not change during the first year of a contract. Terms of credit cards marketed to youths and college students must be plainly stated by both the company and the university. Finally, fees may not be placed on store credit cards and gift cards which have not been used for a period of time.


Unfortunately, as with any piece of legislation the CARD act is not without its drawbacks. The reason that companies are able to keep interest rates so low is that they are not accountable to a governing body for the terms of the contracts and promotions that they use to entice customers. Under the credit card act, it is likely that interest rates will rise substantially. This will make new credit cards unobtainable for many individuals with poor or no credit.

No-fee credit cards will likely disappear as a result, and credit score checks, especially on the best credit cards, will probably become stricter, limiting the number of individuals who can apply for new cards. Although many Americans expect a freeze on interest rates until the act takes effect, most credit card companies will continue to raise rates until they are prohibited by law.

Now, I'm not sure that I accept the politics behind some of the posts here. After all, if people would have just paid their credit card bills on time, and not maxed out their cards so they had no chance of repaying them, they wouldn't have had to worry about any "unreasonable fees" to begin with! Nevertheless, this blog contains monetary information you need to know, whether you agree or disagree with any political leanings that may be on display.
-Is Goldman Sachs Thinking of Buying Silver
-Net Neutrality Debate
-Interview with John Rubino (author of The Collapse of the Dollar)
-The Laboon Comes (The last days of Lehman Brothers)
-How HR 627 The Credit Card Act Blunts the Vampire Squid's Beak

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