You can learn to be more financially intelligent by reading between the lines of some advertisements. Read the following advertisement from company Xyz, which was taken word for word from a website some time ago. I have added in square brackets how I would read "between the lines" the same
advertisement.
Notice how it only tells you the good things that will appeal to a customer. Note, also they don't add information such as "please note if you don't pay the full amount off in the allotted time we will charge you interest".
Here is the advertisement:
Xyz have a convenient way to shop. Easy and quick [to get into debt]. The xyz customer card is a predetermined credit limit that gives you the ease of shopping [and spending money you don't have] in our store.
Simple to sign up for and only takes a few minutes of your time [because we don't get you to read and understand the fine print so it takes even less time to owe us heaps]. Once done, you are away to shop freely at your leisure [for wants not needs and book up a big bill so we can charge you a huge amount of interest when the interest-free period ends].
Making a purchase takes only a few minutes [to get you into debt which can take years to repay]. No waiting around for approval! No more going from point A to point B to sign documents [just swipe your card and spend some more].
Paying your account is now even easier! Only 3 per cent of the total has to be paid each month [so you can spend the next eight years paying for that pair of shoes] or you can set the amount to pay above that 3 per cent [which we hope you won't because we will make less money from the interest on your outstanding balances]. That's easy.
Know your limit [how much you can get into debt] Xyz easy-read statements help you to control your payments and control your purchasing. The other great thing about Xyz is the FREE underground parking. No meter maids to worry about. Have fun shopping with Xyz!
Sylvia Bowden is the author of How To Stop Your Kids Going Broke, available from www.silbo.co.nz. She has also written the New Zealand Household Budget Kit, available through bookshops and her website.
