When a person is able to work and earn a living, they do this in order to enjoy good quality life. Unfortunately in some instances, life pitches to them a curve ball. They find that they are faced with challenges not of their own making, and ones they could not avoid. Any assistance offered to them at this point is usually greatly appreciated and a person feels indebted to the one offering help.
Discussion
This is what we see the banks doing. Offering assistance to consumers when their cash flows are challenged. By automatically allowing their customers to continue spending on their accounts. The banks are practicing the Ethics of Care. All they are doing is ensuring their customers do not have their lives inconvenienced by not having cash at a particular time, when they will have it later. Just allow them to borrow now and repay later this is what the banks do.
When the Center for Responsible Lending tries to push the argument that the money could be used for other purposes, they are not looking at the big picture. Which person would be saving money and sleeping hungry today. In order for a person to be able to have a productive life, they need to have a life that allows for some level of comfort. Every customer who operates a bank account is always aware of the amount of money that is coming into their account. It is only when they find themselves in a financial jam that they need help. Otherwise, they can comfortably organize their lives without the help of the Center for Responsible Lending.
What the Center should be advocating for instead is an increase and clarity in the amount of information available to the customer. This will help the customer make informed choices when choosing to overdraw on the account-they will know how much it will cost them. When information on which charges are charged by which bank or credit union are easily available, a consumer will be able to decide which one to bank with in order to reduce on charges levied.
Therefore, considering the Ethics of Care theory, the banks are actually offering a service to the consumers that has considered their interdependency in achieving individual interests the need to safeguard and promote the interest of the consumer in the situation they find themselves short of spending money and that extra consideration be given to those who are vulnerable by the banks choices to give or not to give overdraft facilities (Trejos, 2009)
After all, the banks are considerate and self regulating as evident by their choice to re-evaluate overdraft threshold triggers and reducing the total number of fees customer pays per day. This shows responsibility.
Discussion
This is what we see the banks doing. Offering assistance to consumers when their cash flows are challenged. By automatically allowing their customers to continue spending on their accounts. The banks are practicing the Ethics of Care. All they are doing is ensuring their customers do not have their lives inconvenienced by not having cash at a particular time, when they will have it later. Just allow them to borrow now and repay later this is what the banks do.
When the Center for Responsible Lending tries to push the argument that the money could be used for other purposes, they are not looking at the big picture. Which person would be saving money and sleeping hungry today. In order for a person to be able to have a productive life, they need to have a life that allows for some level of comfort. Every customer who operates a bank account is always aware of the amount of money that is coming into their account. It is only when they find themselves in a financial jam that they need help. Otherwise, they can comfortably organize their lives without the help of the Center for Responsible Lending.
What the Center should be advocating for instead is an increase and clarity in the amount of information available to the customer. This will help the customer make informed choices when choosing to overdraw on the account-they will know how much it will cost them. When information on which charges are charged by which bank or credit union are easily available, a consumer will be able to decide which one to bank with in order to reduce on charges levied.
Therefore, considering the Ethics of Care theory, the banks are actually offering a service to the consumers that has considered their interdependency in achieving individual interests the need to safeguard and promote the interest of the consumer in the situation they find themselves short of spending money and that extra consideration be given to those who are vulnerable by the banks choices to give or not to give overdraft facilities (Trejos, 2009)
After all, the banks are considerate and self regulating as evident by their choice to re-evaluate overdraft threshold triggers and reducing the total number of fees customer pays per day. This shows responsibility.
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