Challenges and use cases
Setting terms of service
In Credit card fees can suck you in — Consumers pay high price for increasingly complex policies, in USA Today, Kathy Chu reports,
Remember when most of us paid only an annual fee on credit cards? Today, late fees and over-the-limit fees are replacing that annual fee. Add in a dizzying array of extra charges: for phone payments, "expedited" online payments, credit card use overseas and balance transfers from other cards.
At a time when Americans wield more plastic than ever â 692 million credit cards, with $711 billion of debt â fees and policies have grown so complex that even regulators struggle to grasp them.
In the holiday shopping frenzy, consumers are especially vulnerable to card fees, because more of them are likely to pay late or exceed their credit limit, according to industry consultants Nilson Report and Moebs Services.
Lots of card issuers offer low initial interest rates these days. But once they've pulled you in, they often replace "fixed" rates with floating rates â which can rise â and impose penalty rates of up to 30% even on those with good credit.
"It's like economic Darwinism," says Chi Chi Wu of the National Consumer Law Center, an advocacy group. "The business model has changed from one rate and annual fee to all these different tiers and fees designed to make money."
This is a perfect example of what CRM does without the benefit of VRM.
We need something on the customers' side that directly tells vendors — and the whole credit card marketplace — "Either give me the terms I want (e.g. 30 day grace period, X% or lower fixed interest rate, $X cap on annual fees) or I'll take my business elsewhere."
Educators vs. Cold Callers
We have the technology already, itâs called blogs. I am currently setting up a blog so suppliers at work can subscribe to an RSS feed and it provides them with information on what I want.
But not everyone uses RSS so the fact that most blogs have the function to view posts as web pages, plus the ability to email out new posts to people means you have that angle covered. The more I read on this concept the more it addresses some of the major problems we as customers have and suppliers have with customers.