Federal Reserve Study Shows Some Issuers Profiled Credit Card Customers

A new study [PDF] by the Federal Reserve released last Friday reveals that a handful of credit card issuers have used transaction profiling in making decisions about the credit limits and interest rates of their cardholders. The study shows these issuers used this behavior modeling to gauge a customer’s risk of defaulting on credit card loans.

The report was part of the CARD Act which required the Fed to investigate whether credit card companies engaged in these practices at any time during the November 2006 to November 2009 time period. Out of 175 banks and lending institutions surveyed, six used one or more of these practices as a basis for adjusting credit limits, raising rates, or making closure decisions on active accounts during this three-year period.

Of the 25 largest credit card issuers surveyed:

Two considered …

Big Tobacco Sues New York City for Violation of First Amendment Rights

New York City has remained adamant when it comes to their no-smoking policies. Currently, you are not able to smoke in bars or restaurants throughout the entire state of New York, but the state is not stopping there when it comes to cracking down on big tobacco and encouraging smokers to give up the habit.

The New York City Health Department has recently developed three anti-smoking signs displaying a decaying tooth, diseased lungs and a damaged brain that depict the harmful effects smoking can have on the body. These ads will also have messages such as “smoking causes tooth decay” along with the number of a city helpline that will aid people in quitting smoking. It will also be mandated by the state that one of these ads are shown wherever cigarettes are sold and if they …

Help a Foster Mom Caring for Abused Boys in Georgia

Back in mid-May a truly horrific and tragic story broke out of Oconee County, Georgia, where two young boys, ages 13 and 7, testified against their mother and stepfather for the brutal child abuse they had withstood throughout the course of a few weeks.

Their mother, Damita Devonna Peak and stepfather, Norris Lazarus Walker had handcuffed the 13-year-old boy to a clothes bar in a small closet while naked, where he was also forced to sleep every night, and use a plastic jug as a toilet. His mother also used pepper spray on his face and his stepfather had shot him with plastic pellets. When the boy was asked by a prosecutor why his parents did those things to him, he replied saying that he had lost his privileges because he “stole” a …

Internet Restrictions for Tweens and Teens?

How would tweens and teens react if you banned Facebook or the new social media sensation, Formspring? Of course, many would be outraged, but Lori Getz turned up some really interesting information about how seventh graders view and use social media and how they may even want their parents to limit their online use.

Getz learned from her recent informal survey of 100 middle-school students that more than 50 percent of them would feel relieved and also have more time to do other things if their school were to ban Facebook for all middle-school students.

During a presentation conducted by Getz with a group of seventh graders, she brought up the subject of Principal Anthony Orsini and Benjamin Franklin Middle School, who asked parents to ban all social networking for children ages 11 to 14. At …

Check Out These Hot New Styles from Lingerie.com

Memorial Weekend sales may have come to an end, but you can still get your lingerie fix at an affordable price from Lingerie.com.

I have already professed my love for Lingerie.com when I was given the opportunity review their Princess babydoll lingerie. From ridiculously fast shipping, affordable price tags, and high quality pieces, if you’re looking for that perfect lingerie to add to your collection, you should check them out. Lucky for you, they just added some really gorgeous new styles by Oh La La Cheri to their inventory, so you’re sure to find something that suits your taste.

Sarah bra, thong, …

Fed’s New Credit Card Website May Have Limited Effectiveness

Last Monday, the Federal Reserve introduced a new website intended to create a transparent database where consumers can compare terms and rates for more than 300 credit card issuers.

“The database will help consumers compare credit card agreements and find a card that best suits their personal finance needs,” said a statement from the Fed. The database is part of the CARD Act which requires card issuers to post their written agreements on their web sites.

While the concept is to be commended, the website itself falls short of becoming a helpful tool for credit card shoppers. There are several factors that limit the site’s effectiveness:

The Fed has simply collected the legal agreements and made them available online. It does not simplify the fine print of the terms and conditions so consumers have to sift …