CNN Plays Scrooge in Credit Card Hit Piece
CNN’s Carol Costello and John Roberts had a lump of coal for credit card companies on “American Morning” Dec. 17.
Costello complained about the companies’ use of “warm and fuzzy” holiday advertisements in an attempt to persuade more people to “charge, charge, charge.” “They’re turning on the charm to do it,” she said with disdain.
CNN’s Carol Costello and John Roberts had a lump of coal for credit card companies on “American Morning” Dec. 17.
Costello complained about the companies’ use of “warm and fuzzy” holiday advertisements in an attempt to persuade more people to “charge, charge, charge.” “They’re turning on the charm to do it,” she said with disdain.
The attack on credit card companies, which included advertising footage from Capital One and MasterCard, began with sarcasm: “It’s in the air. Credit card love,” Costello said before taking a serious tone. “At a time your tax dollars are bailing out credit card companies they’re tweaking their ads to persuade you to use plastic so they can make money.”
But according to Costello those ads are “not fooling many consumers these days.” Her report included anti-credit card industry remarks from three ordinary people and Democratic congresswoman Carolyn Maloney, N.Y.
It also referenced anonymous “consumer group” support for regulatory changes to be voted on by the Federal Reserve on Dec. 18. Representatives of the banking industry told CNN that those new regulations would hurt consumers by raising prices, tightening credit and taking away perks like free balance transfers.
But Costello only devoted 17 seconds to the American Bankers Association’s remarks after the roughly 2 minute and 30-second anti-lender segment. Costello clearly took a position against credit card companies and with those ‘consumer groups’ at the end of her report:
“Consumer groups say the new rules would be a good first step. And it just may make those warm and fuzzy credit card commercials easier to stomach. And that would be … [Priceless]. Wouldn’t it though?,” Costello said before digressing into anti-credit card banter with “American Morning” co-host Roberts.
Costello left a few important points out of the story: each person’s financial situation is his or her own responsibility; if credit cards weren’t useful products, there would be no demand for them; and credit card companies are in business to sell credit. To borrow a phrase, “Credit cards don’t bankrupt people. People do.”
