Suze Orman Debit Card? Say It Ain’t So!

Posted by admin on Jan 11, 2012 in Blog, Sound Off | 0 comments

Just when we all thought that Suze would stay on the straight and narrow, she has just released a new prepaid debit card, named the Approved Card, into the fray. With so many players already selling similar products, one wonders why Suze would jump in. Of course, with Suze being first and foremost a promoter, the card gives her an opportunity to have her name in more places, and especially in consumers’ wallets. So, maybe that’s one reason. But, of all people, we would think that Suze would refrain from promoting plastic to the public – seeing as how that’s how many people get themselves into financial trouble in the first place.

You’d think Suze Orman would be skeptical of being associated with prepaid debit cards given the bad wrap they received at the hands of the Kardashian Kard and Russell Simmons’ Rush Card.

But the she knows a marketing opportunity when she sees one, and there’s never been a better time to offer drowning Americans a credit-building lifeline than now. That’s how she’s promoting it – as a financial instrument that will help people raise their credit scores, but read on, because it’s anything but that.

Enter Orman’s Approved card, which launched on January 9th.  It offers most of the features we’ve come to expect from prepaid debit cards: a $3 fee to obtain the card, a host of ATM fees, plus a monthly $3 “account maintenance” fee.

But like most things involving money, Orman’s Approved card isn’t all that it seems, and consumers might be disappointed when they realize the card won’t boost their credit score.

The card comes with unlimited access to credit reports and histories, courtesy of TransUnion (though not the more widely-used FICO scores). With identity theft running rampant, this sounds like a smart idea, but it’s key to remember that most of these services are money-wasters as you can simply track this yourself, and that debit cards aren’t how to become more creditworthy in the eyes of lenders. That’s because credit bureaus report the amount of outstanding debt and timeliness of payments. With a debit card, there is no debt, and of course there’s no payment due date.

So, just as with other forms of plastic, debit cards are simply a way for banks, loan companies, (predatory) financial opportunists, and now Suze Orman to separate people from their money.

When you understand that money – real money not plastic money – is the only legal tender, why use anything other than the “real thing”? Especially when the real thing costs less! Shame on you, Suze.

Oh, and about that FICO score, the number that is used to frighten you? It’s really an F-YOU score, a concocted number that creditors use to justify charging more for their loans. After all, when the banks needed government bailouts to prevent them from going bust, were they negatively affected by some phony “score”? Of course not. That F-YOU score is only for sheeple. As for plastic money, remember that if you can’t pay off a purchase in 30 days, you shouldn’t be buying it in the first place. You’re far bettor off saving up until you can afford that object of desire and purchase it when you have the CASH. When you realize you don’t need their credit, or them, you will live happily ever after.

So, say “F-YOU” to FICO. You can always find someone to do business with – and at your terms.

Shame on you, Suze Orman, for pushing plastic!