One particular area where credit card companies are beginning a slow pull back from is mailing credit card solicitations to consumers. This is sure to be good news for many consumers who have been very annoyed at getting a lot of junk mail. However, for the US Postal Service, this is nothing, but bad news.
Credit card mail solicitations are a major revenue source that the US Postal Service used to enjoy. This declining number of credit card mail solicitations is therefore, hurting USPS very badly. According to the Financial Times of London, the number of credit card solicitations that consumers will be seeing is expected to shrink to about 1.5 billion once this economic recession has settled down. A comparison of the deficit that the USPS budget is facing and the decline in the number of credit card solicitation mail on a monthly timeline would most probably show a direct correlation between the two.
This decline in revenue from credit card solicitation means that the US Postal Service will have to look for other means to generate replacement for revenue lost. Add to that a decline in mail postage that they are seeing every month, it is very likely that the Post Office will soon be relying on funds that will be provided by tax payers, namely general funds, just to keep their operations going. The desperation is quite clear and there have even been suggestions to lower the number of days that mail is delivered to three days in every week so that the US Postal Service can decrease their costs.
Even as credit card companies lower their credit card solicitation mail, a lot of consumers are eschewing credit cards altogether, declining credit card offers at rates much higher than they used to. Aside from refusing credit cards, consumers are also doing their utmost to bring down the amount of debt that they are carrying. According to figures from the Federal Reserve, American consumers have been decreasing their total debts for ten months out of the 12 months that have passed.
Consumers have now learned that carrying credit card debt is a disastrous practice. Paying of credit card debt has become the current trend among majority of American consumers and there is a trend of overall frugality among them as well.