Consumer advocacy groups have not been successful in enacting a federal “opt-in” provision that requires personal authorization for the selling or “sharing” of private consumer information to other commercial interests. As a result, the new financial services “conglomerates” such as Citigroup (merger of Citibank and Traveler’s Group) are permitted by federal law to share individual background information with all of their subsidiaries. This explains how obtaining a Citibank credit card can lead to solicitations from its separate insurance and investment divisions. (more…)

As U.S. longevity increases and health care costs soar, many older Americans face the prospect of outliving their retirement resources. Personal health and maintenance expenses are escalating, and more of America’s older adults have little recourse but to use credit for purchasing necessary medicines and even groceries. Moreover, many seniors who had planned on living in a mortgage-free home are finding that rising tax assessments, escalating insurance premiums, and other home maintenance–related costs are claiming a growing portion of their fixed incomes. (more…)