The strongest wins - everything on the earth is bent to this law of nature. The West wellbeing has been created at the expense of the Third World countries and nowadays the situation appears to stay the same. The West grasping capitalists have had a new effective weapon of expansion that easily fits in any wallet - a credit card.

MasterCard, Visa, American Express are steadily multiplying credit card services around the planet and it is hard to find a place free of their advertising. Holding a plastic is becoming a common thing for all those hard up developing countries. Is that a new rife and rampant epidemic that is powerful enough to keep its followers on knees?

Well, for Asia and Africa's socio-economic growth western financial affairs do a little harm, actually. Development of the credit card services is one of the investment tracks that contribute greatly to the regional economy.

Thus, credit card market invasion is good for the both participants of the process. The banks solve their marketing and income problems and those countries get financial inflow.

Actually, the countries of Asia, Africa and Latin America are getting under dependence with MasterCard, Visa International and other credit card brands as if they were a kind of credit colonies.

What is surprising about the developing countries, they show loyalty to what I find shocking...

I've been to Brazil not so long ago. I had no problem with Visa and MasterCard acceptance and felt free to make a transaction or convert currency. But I nearly kissed the ground when I saw the interests that local residents have to pay on their cards. It was 200% avg! Well, very high rates in the Third World countries are a common fact, but Brazil is on the top! Here is the reality of the credit empires' colonial policy.

One of the locals told me how much he was glad to be approved for a plastic. He had no doubts about his card terms and rates being the best. He just didn't realize that it is nonsense to pay 240% annual interests with 6% inflation rate anywhere in the West.

What is more, he had incredibly low credit limit on his card. The reason was not in his poor credit history but in Brazil credit card issuers' policy - they offer just $40 - $400 credit line to get a payback for sure and soon.

Sadly, that is a common lot of a colonial country to serve as a giving hand.

Difficult to give a proper advice to those countries' residents but there is one sure thing - credit card issuers increasing in number will bring to competition and, as a fact, to lower interest rates and better terms.

Credit empires will not disappear from the face of the Earth; they just will get more favorable to the subjects.

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Comments

Walter, 12:01 AM, September 25, 2007
Credit cards invade the world and become important in the society. As long as it lasts credit card companies will take advantage of it.

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