Finance Markets Should Learn Transparency From Nonprofits: Social Responsibility
Individuals in the financial markets are trying to blame the inaccuracy of credit scores as the reason for the losses incurred by the financial industry. They need a scapegoat!!!
Credit scores do not take into consideration when credit companies change their rules. For instance American Express allows many customers to carry balances, but can discontinue said benefit without notice.
Credit scores do not take into consideration interest rates increases.
Credit scores do not take into consideration medical bills
Credit scores do not take into consideration the increase in fuel costs.
Credit scores do not take into consideration a car accident and that insurance does not pay for its replacement.
Credit scores do not take into consideration health premiums increasing.
Credit scores do not take into consideration the cost of childcare.
Credit Scores do not take into consideration being laid off.
Credit scores do not take into consideration the costs of having another child.
A Credit score is a picture of the past.Financial verification of income and certain expenses of today is their choice.The financial entity decides if the risk is worth it, not the score.
The financial meltdown of the credit market has presented a picture that is disturbing. It looks like the industry was bent on squeezing every dime from individuals and passing the risk to another. Fairest and honesty seems to be missing from the investment instrument. The lacking elements of risk has many features of being fraudulent. The fiscal mess will take awhile to resolve itself.
The nonprofit community has an opportunity to take advantage of the mess to replace some of these inappropriate ways of financing for their employees and community. Most nonprofits are use to being transparent. The involvement of nonprofits in stabilizing the financial markets with Micro lending as well as sponsoring the creation of jobs and housing will go a long way. Invest in the future of your employees and community.
