Reported 17 days ago
Recent studies reveal that automatic credit card payments, which are designed to encourage better financial habits, may not be as beneficial as once thought. While they initially increase the likelihood of making minimum payments and reduce late fees, they can also lead to increased debt and higher interest costs. Research shows that without careful customization and consideration of individual circumstances, these financial 'nudges' might not achieve the desired long-term outcomes, highlighting the importance of smarter policy design in promoting financial responsibility.
Source: YAHOO