The Secret History of the Credit Card

In "Secret History of the Credit Card," Frontline and The New York Times collaborate to investigate the complex history of the credit card industry. In this 60 minute report, correspondent Lowell Bergman investigates the techniques used by credit card companies to earn record profits and get consumers to take on more debt.

The video reveals some disconcerting facts about American's relationship to plastic and the hidden motivations of credit card companies.

• Customers who pay their debts in full each month are called "deadbeats" in the credit card industry - they are the least profitable type of customers for credit card issuers;

• Customers who carry monthly credit card debt are called "revolvers" and are considered dream customers by creditors;

• The average family owes roughly $8,000 on their credit cards. This debt has helped generate record profits for the credit card industry;

• Critics say that a growing share of the industry's revenues come from what they call deceptive tactics, such as "default" terms spelled out in the fine print of cardholder agreements -- the terms and conditions of which can be changed at any time for any reason with 15 days' notice.

This report is a must-see for people in debt. Watch the full report online at PBS.org >