Consumer Credit More Difficult to Access; Fewer Payment Alternatives for Skyrocketing Healthcare Bills

Posted on: July 17, 2012

July 17, 2012 — Credit card offers mailed to consumers tapered off sharply in recent months after a resurgence in the wake of the recession, indicating a shift in large-issuer strategies

Issuers clearly are becoming more selective in mailing solicitations after the initial post-recession frenzy that peaked in June 2011. But, experts say, they also are relying more heavily on in-branch marketing.

As suggested by new data from Mintel Comperemedia, direct mail inviting consumers to apply for credit cards in April hit a 25-month low, dipping to 260 million mailings, down 33% from 390 mailings a year earlier.

The latest numbers bring card solicitations closer to a level last seen in the spring of 2010, when issuers pulled back on mailings and tightened credit standards in reaction to the recession, the data shows. Chicago-based Mintel tracks monthly direct mail volume in various categories through a long-running household panel.

As the credit market continues to tighten, consumers also are contending with an escalating responsibility for their healthcare costs derived from skyrocketing employee deductibles and co-pays. The result? Patients who encounter oftentimes-unexpected medical bills with insufficient cash to pay in full may find it very difficult to repay their out-of-pocket hospital expenses.

There is, however, a solution. CSI Financial Services’ ClearBalance® is a patient-friendly program designed to help all patients (regardless of credit score) by providing an affordable repayment option. ClearBalance gives patients the opportunity to receive a long-term payment option featuring low monthly payments with no interest or late fees.

For more information, please call ClearBalance at 858-200-9208.

Source:  Collections & Credit Risk